$100m to go in Telecom buy-back

TOM PULLAR-STRECKER
Last updated 10:24 21/11/2012

Relevant offers

Industries

Pilots and technicians hot property as demand for air travel surges in China Watchdog won't hold conference on Sky/Vodafone merger Simon Gault buys into Cocavo coconut oil company Wilding and Co host Chinese marketers in Queenstown Top technology trends for businesses to watch for 2017 Scenarios without media merger 'not fabulous' says Fairfax NZ boss No right or wrong level of foreign ownership in NZ market Potential job losses at Tokoroa's Kinleith Mill Free wine and in-flight entertainment on Asian Airlines in doubt Bill English laments low productivity, urges NZ to focus on 'human capital'

Telecom is two-thirds of the way through the $300 million share buy-back it announced in February as a way of returning capital to shareholders.

Telecom signalled at its annual results in August that it would slow down the buy-back, which was originally due to be completed this calendar year.

That was widely interpreted by analysts as an admission the company's share price had become over-heated and the announcement helped send Telecom's shares down 8.5 per cent to $2.52.

At the time, Telecom had spent $169m on the buy-back. It said it had now reached the $200m mark. The average price it had paid for the $31m of shares it had bought back since August was $2.35, compared to $2.44 during the buy-back as a whole.

Telecom's shares closed down half-a-cent yesterday at $2.375.

Spokesman Andrew Pirie said the pace at which Telecom bought back the remaining $100m of shares would depend on its future share price. "The plan is to continue with the buy-back, pending market conditions," he said.

Ad Feedback

- BusinessDay.co.nz

Comments

Special offers

Featured Promotions

Sponsored Content