Russian retailer Dixy Group has announced that its board of directors approved additional funding for its share repurchase programme of up to RUB 5 billion.
The programme will allow JSC Dixy Yug, Dixy's subsidiary, to purchase shares from the market up to this amount, in addition to the earlier approved financing of RUB 1.5 billion.
Currently, JSC Dixy Yug holds more than 10% of the authorised share capital of Dixy Group.
The retailer's share buyback programme was first announced in July, with the aim of encouraging further market capitalisation growth in the future.
"The approved share repurchase programme should be a positive signal to investors and confirms management’s confidence in the further improvement of its operational performance and market value," said Sergey Belyakov, Dixy Group general director.
Dixy Group currently operates 2,717 stores across Russia, under its Dixy, Victoria, MegaMart, and MiniMart banners. In 2016 the company's total revenue amounted to RUB 311 billion.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Sarah Harford. Click subscribe to sign up to ESM: The European Supermarket Magazine.