SOFIA (Bulgaria), March 27 (SeeNews) – Bulgarian software developer Sirma Group Holding [BUL:SGH] said it is proposing to its shareholders a share buyback programme targeting up to 3% of its equity capital per year by the end of 2028.
Sirma Group plans to repurchase up to 5.3 million own shares at a price between 0.85 levs ($0.47/0.43 euro) and 4 levs apiece, with the maximum buyback amount capped at 21.2 million levs, the company said in a statement last week.
The initiative aims to create a pool of shares for management and employee bonus schemes.
“Additionally, the repurchased shares will serve as a strategic tool for future acquisitions, further solidifying Sirma’s position in the technology sector,” Sirma CEO Tsvetan Alexiev said.
The proposal will be voted upon at an extraordinary general meeting of shareholders scheduled for April 8.
In 2024, the company posted a 24% annual increase in consolidated operating income to 100.75 million levs, while gross profit more than doubled to over 3.4 million levs. Its stock surged 42% over the past year, bringing market capitalisation to nearly 57.6 million levs.
This year, Sirma targets 70 million euro in revenue, alongside significant earnings before interest, taxes, depreciation and amortisation (EBITDA) and profit growth, as it prepares to list on the Frankfurt Stock Exchange.
The company operates across North America, Europe and Asia, with subsidiaries in the US, UK, Germany, Romania, Albania, Brazil, Israel and Sweden.
Shares in Sirma Group Holding last traded on Wednesday when they closed at 1.11 levs on the Bulgarian Stock Exchange, bourse data show.
(1 euro = 1.95583 levs)