[Investment Basic] Corporate Action: Share Buy-back

What is Share Buy-back 

• Share buy-back allows the Company to purchase its own shares of up to 10% of its total issued and paid-up ordinary share capital.
• The Share Buy-back also allows company either:

1. cancel the shares so purchased; or
2. retain the shares so purchased as treasury shares; or
3. retain part of the shares so purchased as treasury shares and cancel the remainder; or
4. distribute the treasury shares as dividends to shareholders and/or resell on the market of Bursa Securities and/or cancel all or part of them.

(Source: Securities Commission)

Rationale for Share Buy-back