Plus500 Slows Down Share Buyback, Buys 26K Shares

As the share price of Plus500 (LON:PLUS) remains unsteady, the company has eased up on its daily share buyback, a recent filing through the London Stock Exchange (LSE) this Monday shows.

According to the statement filed by the London listed broker, on 25th September 2020, the firm repurchased 26,000 of its own ordinary shares, each through Credit Suisse Securities (Europe) Limited.

With the volume weighted average price paid per share by the broker at £15.12, the online contracts for difference (CFD) trading provider spent around £393,216.20 on Friday for its latest batch.

On Friday 25th September, the lowest price paid per share by the company was £15.00, and the highest price paid per share was £15.34.

For its latest buyback program, until last week, overall, the company repurchased between 30,000 and 35,000 of its own ordinary shares and spent close to £500,000 per batch, with the occasional exception.

However, the most shares the broker repurchased last week was on Thursday 24th September when the trading provider bought 26,250 of its own ordinary shares.

As Finance Magnates reported, the volume weighted average price paid per share by the company was £15.20. Therefore, the broker spent around £398,939.63 for its ordinary shares on Thursday.

Plus500 Aims to Spend $67.3 million

In total, the Israel based broker is planning on repurchasing $67.3 million worth of its own shares in its latest share buyback program, which commenced in August of this year. It is not clear if this slowdown is in response to its share price, or it has been planned regardless.

The slowdown came in the same week that BlackRock, a New York-based asset management company, announced that it had diluted its stake in Plus500 following a sell-off and now holds less than 5 per cent of the brokerage’s shares.