Nexxen launches $50m share buyback programme

7th May 2024 12:51

(Sharecast News) - Connected television advertising technology company Nexxen International announced the start of a new share repurchase programme of up to $50m on Tuesday.

The AIM-traded firm said the decision to launch the programme came after the end of the creditor objection period, during which no objections were raised, and the subsequent amendment to its credit agreement, as announced on 15 March.

Under the programme, the company and its subsidiaries would repurchase of up to $50m of its ordinary shares on an intermittent basis.

The board said the motivation behind the programme was in Nexxen's commitment to enhancing shareholder value.

Its board indicated that if Nexxen's shares continued to trade at levels it perceived as undervalued, and if it maintained its cash-generative status, it would explore the possibility of launching additional share repurchase programmes following the completion of the current $50m programme.

The programme would be independently managed by the company's AIM broker, Cavendish Capital Markets, with the maximum price per share to be paid not to exceed 105% of the average middle market closing price on AIM for the five business days prior to the date of purchase.

At 1233 BST, shares in Nexxen International were up 4.93% at 235.04p.

Reporting by Josh White for Sharecast.com.