Pandora Announces DKK 4.0 Billion Share Buyback Programme.

Pandora announces a new share buyback program to reduce its share capital and meet incentive program obligations. The program is worth DKK 4.0 billion and will run from February 6, 2025, to January 30, 2026. Two tranches are planned, with the first starting on February 6, 2025, and the second starting on June 10, 2025. The share buyback program aims to repurchase shares for an aggregate maximum amount of DKK 4.0 billion.

Pandora has announced a new share buyback program aimed at reducing its share capital and fulfilling incentive program obligations. The program, worth DKK 4.0 billion, is scheduled to run from February 6, 2025, to January 30, 2026. The buyback will be conducted in two tranches, with the first starting on February 6, 2025, and the second commencing on June 10, 2025.

The share buyback program is structured in compliance with the EU Commission Regulation No. 596/2014 and the Commission Delegated Regulation (EU) 2016/1052, collectively known as the "Safe Harbour Rules." This regulatory framework ensures that the buyback is conducted in a transparent and compliant manner.

Pandora's strategic decision to initiate this program is driven by its strong financial performance and robust balance sheet. As of the most recent financial data, Pandora's Return on Invested Capital (ROIC) is significantly higher than its Weighted Average Cost of Capital (WACC), indicating a solid ability to generate value from its capital base [1]. The buyback program aligns with Pandora's broader strategy to optimize its capital structure and enhance shareholder returns.

By reducing its share capital through this buyback program, Pandora aims to improve its earnings per share (EPS) and return on equity (ROE). This strategic move is particularly important in a volatile market environment, where disciplined capital allocation can drive value creation and mitigate short-term risks.

The first tranche of the buyback program began on February 6, 2025, and the second tranche started on June 10, 2025. As of the latest available data, the total shares repurchased under the program are not yet disclosed. However, the program's design ensures that Pandora can efficiently manage its capital structure and align its interests with those of its shareholders.

Pandora's commitment to shareholder value creation is evident in its consistent focus on optimizing capital structure. The buyback program complements Pandora's ongoing efforts to balance growth with capital returns, demonstrating its ability to navigate market uncertainties while rewarding shareholders.

References:
[1] Jyske Bank Corporate Announcement No. 3/2025 of 26 February 2025 [https://finance.yahoo.com/news/share-repurchase-programme-transactions-week-061200469.html]