RE: Buybacks10 Feb 2026 20:36
INV
Another one who needs think/research before posting.
Shares purchased in a buyback programme are no different to any other purchase, with shareholders gaining a return due to the reduced share capital. Shares going into treasury first is irrelevant to the eventual returns/benefits to shareholders. 3 things that can be done once in treasury - First of all shares could be sold back into the market which would only be done at a greater price than what was paid and in addition capital was needed. 2nd to be used for staff schemes and third cancelled.
If X amount are used for staff schemes and Y cancelled, then that is exactly the same as if X+Y had been cancelled because if they had all been cancelled immediately instead of going into treasury first , then X amount of new shares would need to issued for staff schemes in any case, so therefore X+Y shares fewer shares than there would otherwise. have been.