On Tuesday, Plus500 initiated its share repurchasing program of $70 million, which it disclosed earlier in the month. This buyback involves a total value of $42.4 million through the final share buyback program and a special repurchase of $27.6 million.
As profits skyrocketed in 2022, the broker launched a $100 million distribution plan among its investors as part of their Share Buyback Program. They are distributing an additional $30 million through dividend payments to benefit shareholders further.
Through its buyback program, the company has taken the initiative to repurchase up to 9,959,828 shares from the open market. To execute this strategy seamlessly and effectively, it has appointed Jefferies International Limited as its managing agent for share repurchases.
Many Share Buybacks
Plus500 is a publicly-traded Israeli organization listed on the London Stock Exchange. Unlike most other brokers, it provides an exclusive opportunity for retail traders to engage in counterparty trading with leveraged forex and CFDs instruments.
Debt-free Company is renowned for their buyback programs, which have been conducted for many years. A new Program began after $60.2 million was bought entirely from the previous program. From 2022 on, $55 million and $50 million were allocated to two different brokers who repurchased shares respectively in an open market process, amounting to a total of $88.8 million worth of ordinary stocks in 2020 alone, with another program valued at 25 Million Dollars that year followed by an added 12.5 Million Dollar top off!
The Board of Plus500 is exhibiting its unwavering belief in the company’s potential through this Share Buyback Programme. Their trust inspires assurance and speaks to their remarkable operational and financial growth in recent years. The Group has been making steady strides toward its strategic roadmap, further reinforcing our confidence in them. It was highlighted by an official statement released today.
Not only did Plus500’s buyback program and steady cash flow positively contribute to their share price, but it has also outshined the other listed FX/CFDs brokers. In the past 12 months alone, their stocks rose 28%, an undeniable testament to its efficacy!
Plus500 thrived in the financial year 2022, as evidenced by a remarkable 15.7% year-over-year growth in total revenue of $832 million and an EBITDA gain of approximately $454 million! The broker is now heading towards geographic expansion with great enthusiasm.
This month, the broker obtained a license from Dubai Financial Services Authority (DFSA), signaling their emergence in the Middle East. Plus500’s US ambitions are further accentuated by its acquisition of Cunningham and a four-year deal with the Chicago Bulls professional basketball team that replaced an earlier seven-year agreement with Spanish football club Atletico Madrid. This strategic move is intended to capture larger US markets for increased success!