Hongkong Land plans to allocate up to US$500 million in a share buyback program which will run through end-2022, the property investor and developer said in a filing to SGX Monday.
“The purpose of the program is to reduce the capital of the company,” Hongkong Land said. “As the holding of treasury shares is not provided for in the company’s constitution, any shares which are repurchased by the company will be cancelled.”
Hongkong Land said the program was in line with its capital allocation practice, which prioritises:
- Investment in new assets to drive long-term growth and shareholder value;
- continued payment of steady and, over time, increasing dividends; and
- investment in existing assets on an opportunistic basis, including through share buybacks.
The company added it remained committed to maintaining a strong balance sheet.