On 29 April 2016 the Board of Directors received the authorization by the General Shareholders’ Meeting to buyback the company own shares for a maximum of 40,000,000 for a period of eighteen months and with a maximum disbursement limit of euro 40,000,000. The unit price of each individual purchase of shares shall not be more than 10% higher or lower than the official price recorded in trading on the Stock Exchange on the day before the purchase is carried out or the price is fixed.
In the opinion of the Board of Directors the reasons for the buyback of the company’s own shares are the following:
- The possibility of acquiring shares of the Company at prices below their actual value based on the real economic value of its equity and its income generating prospects, thus raising the value of the Company
- The possibility of reducing the average cost of capital of the Company
Starting from 29 April 2016 CIR began the buyback program in execution of the authorization given by the shareholders on 29 April 2016. CIR informs the market on a weekly disclosure basis of any transactions completed.
The buyback of own shares is not intended to reduce the capital of the company although this cannot be ruled out in absolute terms and will be evaluated when doing so may represent and opportunity for the creation of value.
On 30 September 2016 CIR is holding a total of 127,489,205 of its own shares, equal to approximately 16.05% of its share capital.