26th Jun 2019 11:20
(Alliance News) - Budget airline Ryanair Holdings PLC on Wednesday said it has amended the terms of its share buyback programme in order to limit the number of non-EU shareholders in the company.
In the airline's financial 2019 results, released in May, Ryanair announced it was embarking on a EUR700 million share buyback, that will run for roughly the next 9 to 12 months.
Prior to that, back in March, Ryanair had decided that all shares held by non-EU shareholders, including British ones after Brexit, will be treated as "restricted shares", meaning that they will have no entitlement to attend, speak or vote at any company meeting.
The resolutions put in place in March were to ensure Ryanair remained majority-controlled by EU shareholders. The airline said the restrictions will remain in place until the company "determines that the ownership and control of the company is no longer such that there is any risk to the airline licences held by the company".
Ryanair said the amendments announced on Wednesday "should" reduce the time these resolutions need to be in place.
On Wednesday, the airline said it will allow shares to be repurchased by way of block trades from EU shareholders as part of its buyback programme, which currently includes British shareholders.
Block trades carried out with UK shareholders will limit the proportionate number of shares held by non-EU shareholders in the event of a no-deal Brexit.
Ryanair said the maximum to be spent by the company in the programme will remain unchanged at EUR700 million.
Shares in Ryanair were 0.5% higher in London on Wednesday at EUR9.98 each.
Related Shares:
RYA.L