Property giant Ayala Land Inc. has earmarked an additional P25 billion to its ongoing stock buyback program – the largest budget for share repurchases set by a local company in recent years.
The additional P25 billion budget to the current share buyback program was approved by the company’s directors, bringing the available balance to P26.1 billion, ALI disclosed to the Philippine Stock Exchange on Friday.
The program will be implemented through open market purchases executed via the trading facilities of the local bourse.
Companies embark on share buyback programs when they deem their shares as undervalued by the markets.
Meanwhile, ALI’s board also approved a fresh P10 billion fund-raising through the issuance of retail bonds, to partially finance general corporate requirements and to refinance maturing loans. This is under its current shelf registration program and will be listed on the Philippine Dealing and Exchange Corporation.
The board also approved the declaration of cash dividends of P0.268 per outstanding common share. This reflects a 3-percent increase from the cash dividends declared in the first half of 2019 amounting to P0.26 per share.
The cash dividends will be payable on 20 March 2020, to stockholders of common shares as of record date March 6, 2020.