The company, part of the Zobel family conglomerate Ayala Corp., approved a new share buyback program of up to P10 billion starting April 1 this year. The amount is equivalent to about 4.3 percent of its current market value.
This comes after the developer of some of the country’s most prominent addresses and business centers completed a multi-year P28 billion buyback program on Feb. 6, where the property giant had already repurchased over 1.1 billion shares.
What does it mean?
A share buyback is when a company buys its own shares from the market, which reduces the number of shares available and can push the price up by increasing demand and signaling confidence.
Deep selloff
Ayala Land shares slipped 0.74 percent to P16.14 ahead of the buyback announcement.
The drop on Tuesday adds to year-to-date losses of about 28 percent so far this year, against a 1.94 percent decline for the Philippine Stock Exchange index.
—Edited by Miguel R. Camus
