Lucky Cement completes the biggest of its kind buyback of shares

Lucky Cement informed the Pakistan Stock Exchange (PSX) earlier this week that the company wants to announce the closure of the purchase period about the buyback of shares by the company, as approved by the members of Lucky Cement Ltd (the “Company”) in the Extraordinary General Meeting held on 24 May 2023. During the purchase period, the company purchased an aggregate of 20,375,000 ordinary shares of the company (purchased shares), representing approximately 6.50 per cent of the issued and paid-up capital of the company. 

According to data compiled by Arif Habib Ltd, the cement maker's average purchase price was PKR632.60 per share (US$2.24/share) for 20.375m shares it bought between 2 June and 20 Nov. As a result, the share buyback cost the company PKR12.9bn, making it the biggest exercise conducted on the PSX.

The company completed its first buyback round of 10m shares in March at a total cost of PKR4.35bn. The stated purpose of the buyback exercise is to cancel the shares after acquiring them using the company's distributable profits.