Carrefour has signed a share buyback mandate with an investment service provider for the first tranche of buybacks amounting to a maximum of €400 million.
The purchase period will commence on 7 March 2022 and end, subject to market conditions, at the latest, on 31 May 2022.
Carrefour Share Buyback Scheme
The move is in line with Carrefour’s capital allocation policy aimed at achieving an efficient balance between capex, acquisitions, and return on equity and as part of the €750 million share buyback announced in February at the group's 2021 full-year results presentation.
Speaking at the presentation, Alexandre Bompard, chairman and CEO, commented, “Carrefour posted a very strong performance in 2021, confirming the sound execution of its strategic plan. Our omnichannel model continues to expand and attract customers [...]."
"This commercial momentum is reflected in an equally solid financial performance, with sales growth despite a high comparable base, a marked improvement in our operating profit, particularly in France, and a record level of net free cash flow generation. The group's financial position enables to announce a new share buyback. Our group also stepped up its action in favour of the food transition for all in 2021, in particular regarding inclusion and the fight against climate change, and again exceeded its targets," Bompard added.
The shares repurchased will be held by Carrefour with a view to their future cancellation.
The operation falls within the framework of Carrefour’s share buyback programme, as authorised by the General Meeting of shareholders of 21 May 2021, the company noted.
© 2022 European Supermarket Magazine – your source for the latest Retail news. Article by Conor Farrelly. Click subscribe to sign up to ESM: European Supermarket Magazine.