JAKARTA. PT Indika Energy Tbk (INDY) will repurchase its shares (buyback) and has allocated US$ 20 million or around Rp 300 billion for that purpose.
In the disclosure of information on the Indonesia Stock Exchange on Wednesday (8/4), it was announced that the buyback will be made during the period of 9 April to 8 July 2020. The number of shares repurchased will not exceed 20% of the number of paid-up shares.
So far, in 2020, the price of INDY shares has fallen by 36.8%, from Rp 1,195 / share to Rp 755 / share.
Management explained that the buyback funds will be taken from internal cash. The buyback will not have a material impact on Indika's operational costs and business activities, since Indika has enough working capital and cash flow to carry out both the buyback and its business activities. (AM/AR)