**Demetra Holdings Expands Share Buyback Initiative with Recent Acquisition**
Demetra Holdings Plc has announced the acquisition of an additional 4,130 shares as part of its ongoing share buyback program, which was initiated last month. The company spent €6,091.75 on this latest purchase, acquiring the shares at a price of €1.475 each through the Cyprus Investment and Securities Corporation Limited (CISCO). This marks a significant increase in activity compared to the previous transaction on Friday, when Demetra purchased only 34 shares for €49.81.
Since the buyback program commenced on July 15, Demetra has repurchased a total of 37,688 shares over the course of 10 trading sessions. The total expenditure for these transactions has reached approximately €56,643, not accounting for any transaction fees, with a weighted average purchase price of about €1.503 per share. Despite these acquisitions, the total number of shares repurchased represents less than 0.02 percent of Demetra’s 200 million issued shares.
The share buyback program was authorized by shareholders during the company’s annual general meeting on June 30 and is set to continue until June 29, 2027. CISCO has been appointed to manage the share purchases on behalf of Demetra. The program is subject to specific conditions outlined in the AGM notice, which stipulates that the company’s holdings of its own shares cannot exceed 10 percent of its issued capital. Additionally, purchases are limited to a threshold linked to 25 percent of the average trading volume over the preceding 30 days. The maximum purchase price is capped at 5 percent above the average share price from the previous five trading sessions, while no minimum price has been established.
As of Tuesday, Demetra shares were trading at €1.47, reflecting a decrease of 0.34 percent, which gives the company a market capitalization of approximately €294 million, according to data from the Cyprus Stock Exchange (CSE). In contrast, the company’s reported net asset value stood at €2.5929 per share as of June 30, indicating that the current market price is approximately 43 percent lower than this figure. However, Demetra has not cited this discount as a rationale for the buyback initiative.
In conjunction with the buyback program, shareholders at the June meeting also approved a €20 million final dividend, translating to €0.10 per share, based on the company’s financial results for 2025. This decision reflects the company’s commitment to returning value to its shareholders while managing its capital structure effectively.
The fluctuations in share buyback volumes indicate a strategic approach by Demetra Holdings in managing its equity and responding to market conditions. As the program progresses, stakeholders will be monitoring the impact of these buybacks on the company’s share price and overall market perception.
The continuation of the buyback program and the recent dividend approval highlight Demetra's efforts to enhance shareholder value and maintain investor confidence in a fluctuating market environment.