Zurich, Switzerland:
ABB has completed its initial share buyback program that was launched in July 2020 as part of the company’s commitment to return to shareholders cash proceeds from the Power Grids divestment of $7.6-7.8 billion. Through the initial buyback program, ABB repurchased a total of 128,620,589 shares – equivalent to 5.93 percent of its issued share capital at launch of the buyback program – for a total amount of approximately $3.5 billion over the past 8 months.
At today’s Annual General Meeting (AGM), as separately announced, ABB shareholders approved the cancellation of 115 million shares purchased under the initial share buyback program.
Consistent with ABB’s capital structure optimization program, ABB’s Board of Directors today approved a further share buyback program of up to $4.3 billion. With today’s decision, the Board confirms ABB’s intention to return $7.8 billion of cash proceeds from the Power Grids divestment to shareholders through share buybacks. The program is expected to be launched in April 2021. It will be executed on a second trading line on the SIX Swiss Exchange and is planned to run until the company’s 2022 AGM.
ABB intends to request shareholders to approve the cancellation of the remaining shares purchased under the initial program as well as those purchased under this new program at its 2022 AGM.
In addition, ABB intends to purchase up to 35 million shares until the 2022 AGM mainly for use in connection with its employee share plans.
ABB currently owns approximately 163 million treasury shares including the 115 million shares approved for cancellation at today’s AGM.
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