Tenaris commences $300 million tranche of $1.2 billion buy back
Tenaris S.A., a global leader in steel tube manufacturing, has initiated the third tranche of its Share Buyback Program. The company, listed on multiple stock exchanges including NYSE, Mexico, and Italy, has confirmed the commencement of a $300 million buyback phase, starting May 13, 2024.
This strategic financial maneuver is part of a broader $1.2 billion Program announced on November 1, 2023, aimed at acquiring and subsequently cancelling ordinary shares in the open market. To ensure impartiality and regulatory compliance, Tenaris has engaged a primary financial institution to manage the buyback process. The Bank, whose identity remains undisclosed, will operate independently from Tenaris, adhering strictly to the Market Abuse Regulation 596/2014 and the Commission Delegated Regulation (EU) 2016/1052.
The buyback agreement permits the continuation of share purchases even during Tenaris’s closed periods, aligning with the stipulated regulations. The current tranche is scheduled to conclude by August 12, 2024, with the acquired shares slated for cancellation.
The authorization for this buyback stems from the general meeting of shareholders held on June 2, 2020, allowing for a buyback of up to 10% of the company’s capital. This may be subject to renewal or extension at future general meetings.
Amidst this announcement, Tenaris has issued forward-looking statements cautioning stakeholders about potential risks. These include uncertainties in oil and gas prices, which could impact the investment decisions of companies within the sector.
As Tenaris forges ahead with this buyback, it reinforces its position as a pivotal supplier to the energy industry, providing essential materials and services to a sector that powers economies worldwide.
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