Berlin The internet and mobile operator United Internet wants to launch a new share buyback program. As part of this program, up to five million company shares are to be bought back via the stock exchange, the company listed in the MDax announces in a mandatory notice.
The total volume of the share buyback program is up to 150 million euros. The program should start on April 3 and will run until August 31, 2020 at the longest. The company plans to release further details before the share buyback begins.
With the resolution, United Internet “makes use of the authorization granted by the Annual General Meeting on May 18, 2017,” the statement continues. On the basis of this authorization, the company has so far 12,635,523 shares, which according to the information account for 6.51 percent of the share capital. The company currently holds 6,338,513 treasury shares.
But the project is delayed. The planned schedule could no longer be met, said Dommermuth at the press conference at the end of March. The reason is the outbreak of the coronavirus pandemic, which makes network expansion difficult. Permits are required, which are currently difficult to obtain because many building authorities have closed.
Stagnating business this year
Although the company has seen a sharp increase in telephone calls and data consumption in the fixed network, the company expects business to stagnate overall this year.
However, the impact of the pandemic is just one of several challenges for the company. United Internet wants to be able to use the existing networks in Germany, at least in the meantime, to set up its own infrastructure.
His company had been talking to Telekom, Vodafone and Telefónica for months. But no agreement had yet been reached. “The three potential negotiating partners are in no particular hurry,” said Dommermuth.
More: United Internet is aiming for stable business.