CentralNic Group PLC (AIM:CNIC) has confirmed the start of its maiden share buyback programme, which launched this morning.
Under the previously announced programme, the software and internet services firm intends to purchase some £4mln worth of its own shares through open market transactions.
“The board considers the buyback programme to be in the best interests of all shareholders, given the cash-generative nature of the business and the strong performance compared to expectations,” CentralNic said in a statement.
“It reflects the group's more balanced future approach to capital allocation," the company added.
The programme is being undertaken by broker Zeus Capital with the support of Arden Partners (AIM:ARDN).
CentralNic noted that Zeus will make trading decisions under the programme independently from the company, within defined parameters.
It is expected that the programme will be wrapped up by no later than 30 June 2023 though it may be concluded more quickly.
Shares bought in the programme will be either cancelled or held in treasury at the company's discretion for later reissue or cancellation.