Compagnie Financière Tradition: Gaitame Parent Kicks Off Share Buyback Program

by Arnab Shome
  • The buyback program is expected to last until May 2026.
  • It will repurchase about 3.91 percent of the share capital.
Compagnie Financière Tradition

The Switzerland-listed Compagnie Financière Tradition (SWX: CFT), which operates the Japanese retail foreign exchange (forex) trading platform Gaitame, has kicked off its share buyback program today (Monday).

Share Buyback Program of Compagnie Financière Tradition

The company aims to repurchase up to 300,000 bearer shares, equivalent to a maximum of 3.91 percent of the share capital. Based on Thursday’s closing price of CFT shares, the buyback program would cost the Swiss company about CHF 35 million.

“The shares will be repurchased via a second trading line on the SIX Swiss Exchange, with Compagnie Financière Tradition as the exclusive buyer. Board of Directors of Compagnie Financière intends to propose a capital reduction for the shares that will have been repurchased under the program at a future general meeting,” an announcement on Friday stated.

The CFT publicly informed its decision for the share buyback program last May. The company was initially aiming to launch the program in June, but it was delayed by a couple of months. The share buyback program will last for three years until the end of May 2026.

The company launched its buyback program when its publicly-traded share price significantly rallied higher. Year-to-date, CFT shares have gained more than 13.4 percent, although the growth has plateaued since May.

CFT share price
CFT share price

A Diversified Business

Headquartered and listed in Switzerland, the CFT is known for operating Japan’s Gaitame, one of the largest forex trading platforms in the country. The company also operates as an interdealer broking business (IDB).

As Finance Magnates recently reported, the CFT ended the first six months of 2023 with reported consolidated revenue of CHF 513.3 million, which fell 6.1 percent at current exchange rates but increased 12.5 percent at the constant exchange rate. The revenue for the first and second quarters came in at CHF 271.6 million and CHF 241.7 million, respectively.

The Swiss company turned a profit of CHF 89.1 million in 2022, which is a 4 percent jump, on consolidated revenue for 2022 to be CHF 947.4 million.

The Switzerland-listed Compagnie Financière Tradition (SWX: CFT), which operates the Japanese retail foreign exchange (forex) trading platform Gaitame, has kicked off its share buyback program today (Monday).

Share Buyback Program of Compagnie Financière Tradition

The company aims to repurchase up to 300,000 bearer shares, equivalent to a maximum of 3.91 percent of the share capital. Based on Thursday’s closing price of CFT shares, the buyback program would cost the Swiss company about CHF 35 million.

“The shares will be repurchased via a second trading line on the SIX Swiss Exchange, with Compagnie Financière Tradition as the exclusive buyer. Board of Directors of Compagnie Financière intends to propose a capital reduction for the shares that will have been repurchased under the program at a future general meeting,” an announcement on Friday stated.

The CFT publicly informed its decision for the share buyback program last May. The company was initially aiming to launch the program in June, but it was delayed by a couple of months. The share buyback program will last for three years until the end of May 2026.

The company launched its buyback program when its publicly-traded share price significantly rallied higher. Year-to-date, CFT shares have gained more than 13.4 percent, although the growth has plateaued since May.

CFT share price
CFT share price

A Diversified Business

Headquartered and listed in Switzerland, the CFT is known for operating Japan’s Gaitame, one of the largest forex trading platforms in the country. The company also operates as an interdealer broking business (IDB).

As Finance Magnates recently reported, the CFT ended the first six months of 2023 with reported consolidated revenue of CHF 513.3 million, which fell 6.1 percent at current exchange rates but increased 12.5 percent at the constant exchange rate. The revenue for the first and second quarters came in at CHF 271.6 million and CHF 241.7 million, respectively.

The Swiss company turned a profit of CHF 89.1 million in 2022, which is a 4 percent jump, on consolidated revenue for 2022 to be CHF 947.4 million.

About the Author: Arnab Shome
Arnab Shome
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About the Author: Arnab Shome
Arnab is an electronics engineer-turned-financial editor. He entered the industry covering the cryptocurrency market for Finance Magnates and later expanded his reach to forex as well. He is passionate about the changing regulatory landscape on financial markets and keenly follows the disruptions in the industry with new-age technologies.
  • 6231 Articles
  • 79 Followers

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