Why is Cromwell Group doing an on-market buy-back of securities and what is the maximum number of shares that can be bought back?
On 24 January 2008 the Group announced an on-market security buy-back up of to 10 per cent of issued capital (a maximum of 69 million stapled securities) as part of its capital management program. The buy-back is considered by the Board to be the optimal way of utilising Cromwell’s capital resources at a time when the Board believes the market price does not accurately reflect the inherent value of the Group. The buy-back period commenced on 8 February 2008 and may continue for up to 12 months from 24 January 2008 unless the maximum number of stapled securities are bought back or Cromwell decides to cease the buy-back earlier. As at 30 June 2008, the Group had bought back 5,565,342 stapled securities.
