Sabuy Technology Public Company Limited (SET: SABUY) has announced that the Board of Directors’ Meeting held on May 2, 2023 resolved to approve the Treasury Stock project for financial management purposes within the amount not exceeding 1,090,000,000 baht, the number of shares to be repurchased is no more than 87,200,000 shares with a par value of 1 baht per share or an amount not exceeding 5.00 percent of the total paid-up shares.
The company stated that the purpose of the share repurchase program is to increase return on equity (ROE), net profit margin (EPS), and increase book value per share, to build confidence for shareholders and to manage the overall financial status of the company for the maximum benefit of shareholders.
To shareholders, shareholders will receive more dividends as the shares repurchased by the company will not be entitled to receive dividends. In addition, return on equity and earnings per share will increase due to the decrease in the number of shareholders and therefore increasing the benefits that each shareholder will receive.
Meanwhile, the company will have liquid assets and the book value of shareholders’ equity will decrease. If the company repurchases shares up to the amount specified at the end of the share repurchase program, the Company will have liquid assets and the book value of shareholders’ equity will decrease by an amount equal to the mentioned limit.