ConvaTec Group PLC (LSE:CTEC) shares rose 7 % on Wednesday after the medical devices group said it would return up to $300 million to investors through a new share buyback.
The programme starts immediately and will run until the end of 2025.
The company said the move followed a review of its cash needs for the rest of the year and confirmed it still expects to meet its full-year guidance.
Up to 205 million shares could be bought back, though Convatec stressed there is no guarantee the full amount will be used.
Stock repurchased will either be cancelled, cutting the overall share count, or held in treasury to cover employee share awards.
The company said the buyback is part of its “disciplined” approach to capital allocation, aiming to reward investors while keeping flexibility to fund growth.
The stock rose 17p to 248.2p. Panmure Liberum says 'buy' up to 310p.
"The shares are looking significantly oversold in our view, and we would definitely be looking to pick them up at these levels," the broker said.