Photo: Reuters
On Wednesday, global lender HSBC launched its planned $1 billion share buyback as it seeks to redeploy excess capital and reward shareholders.
HSBC has appointed Merrill Lynch International to conduct the process, which could see as many as 2 billion HSBC ordinary shares canceled in a move that should boost average earnings per share.
The bank said that Merrill Lynch will make trading decisions related to the buyback independently of HSBC and purchase shares “on exchange.”
The process is due to end on Aug. 31.
Last month, HSBC said it would postpone plans for a 2022 buyback program after reporting a larger than expected hit to capital reserves driven by rising inflation and geopolitical tension.
Opinions expressed by Influencer Daily contributors are their own.
