Russian retailer Dixy Group has announced that its board of directors approved a share repurchase programme for the next 12 months.
The programme will allow JSC Dixy Yug, Dixy's subsidiary, to purchase up to 10% of the group's shares from the open market for a total amount of up to 1.5 billion Russian rubbles within the next 12 months.
Upon completion of the share repurchase, Dixy's management will consider the future use of the acquired equity.
Growth Potential
“The board of directors sees the company as fundamentally undervalued and believe in its market capitalisation growth potential in the future," said Sergey Belyakov, Dixy Group general director.
"The approved share repurchase programme should be a positive signal to investors and confirms management’s confidence in the further improvement of its operational performance and market
value."
Dixy Group currently operates 2,717 stores across Russia, under its Dixy, Victoria, MegaMart, and MiniMart banners. In 2016 the company's total revenue amounted to RUB 311 billion.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Sarah Harford. To subscribe to ESM: The European Supermarket Magazine, click here.
