Pasig–(PHStocks)–The Board of Directors of First Philippine Holdings Corporation (PSE: FPH) approved today the extension of the buyback program for two (2) years, or from July 11,2012 to July 10, 2014.
It can be recalled that on July 8,2010, the Board of Directors originally approved the buyback program of up to PhP6 billion pesos, to begin on July 12, 2010 and which is set to expire on July 11, 2012. To date, the total buyback of shares has reached the amount of PhP3.34 billion corresponding to 55.4 million shares or 10.12% of the total outstanding capital stock of the company.
The program will not involve active and widespread solicitation from stockholders in general. It is not expected to adversely affect the company’s current projects nor its future prospects. The program will be executed through the open market by means of the trading facilities of the Philippine Stock Exchange and implemented by the Chairman/CEO, the President/COO and/or the EVP/Treasurer/CFO. The program is intended to maintain a balance between enhancing the company’s capital structure and ensuring its ability to fund future growth and investments. With the overarching objective of enhancing shareholder value, buyback transactions will be triggered if the company stock is substantially undervalued, when there is high volatility in share prices or other analogous circumstances. Management believes that continuing with the program should work to the benefit of the company and its shareholders as a whole.