Last June, the company’s board approved a decision to buy back up to 10% of the shares in the amount of $ 4 billion.
Xiaomi announced at the end of this week that it intends to repurchase up to $ 1.29 billion of its shares on the open market as part of its share buyback program. The decision was made at a time when the shares of the Chinese electronics manufacturer continue to fall.
Xiaomi allocates $ 1.29 billion for share buybacks
Xiaomi’s stock has lost more than a third of its value since the company was blacklisted by the US in mid-January under the pretext of “ties with the Chinese military.” The presence of the company on the blacklist deprives American investors of the opportunity to acquire its shares and obligatory forces them to refuse them.
“The Board believes that the share buyback in the current environment will demonstrate the company’s confidence in the business prospects … and create value for shareholders,” Xiaomi said in a statement.
In June last year, the company’s board approved a decision to buy back up to 10% of the shares in the amount of $ 4 billion.
