NetSol Technologies Limited intends to repurchase two million shares of its common stock from various investors/shareholders.
The transaction will result in an increase in earnings per share and a dividend increase. Additionally, it will provide an exit strategy for participants who choose to liquidate their investment.
The purchase will increase earnings per share, future dividends, and the company’s breakup value.
According to the stock filing, the board of directors has agreed to suggest to members, by special resolution, the acquisition or repurchase of the company’s issued ordinary shares with a face value of Rs. 10 a piece. In this regard, the board of directors has resolved to convene an extraordinary general meeting of the company in Lahore on May 10, 2022, to seek members’ approval of the plan to purchase shares by the passage of a special resolution.
The shares will be purchased between May 18 and August 15, 2022, according to the program. The deadline may be extended until the shares are purchased.