Teleperformance's Share Buyback: A Strategic Move for Long-Term Growth

Teleperformance (TEP), a global leader in digital business services, has announced a share buyback program worth up to €500 million, set to run from August 3rd, 2023, to December 31st, 2024. The company aims to repurchase and cancel most of the acquired shares, demonstrating its confidence in the company's short- and long-term growth prospects and the undervalued stock price.



The share buyback program aligns with Teleperformance's strong cash flow generation, industry-leading performance in a challenging macro-economic environment, and future growth prospects. By initiating this program, the company seeks to reward long-term shareholders without compromising its S&P credit rating or acquisition opportunities.



The cancellation of most of the acquired shares under the share buyback program will have a positive impact on Teleperformance's capital structure and partially offset the dilution resulting from the Majorel acquisition. This move increases earnings per share (EPS) for remaining shareholders and maintains the company's financial flexibility.

Teleperformance's strategic decision to launch the share buyback program reflects its commitment to enhancing shareholder value and maintaining its competitive edge in the digital business services market. As the company continues to grow and adapt to the ever-evolving market landscape, investors can expect Teleperformance to remain a strong performer in the long run.

In conclusion, Teleperformance's share buyback program is a strategic move that demonstrates the company's confidence in its growth prospects and commitment to rewarding long-term shareholders. By canceling most of the acquired shares, the company enhances its capital structure and partially offsets the dilution from the Majorel acquisition. As Teleperformance continues to navigate the digital business services market, investors can expect the company to maintain its competitive edge and deliver strong long-term performance.