Stagecoach announces £60m share buyback programme
Bus and rail operator Stagecoach has announced plans to buy back up to £60m shares.
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"Following the recent announcements regarding UK Rail coupled with the completion of the sale of the North America business, it is an appropriate use of our cash at this time to buy back our own equity," the company said on Thursday.
It plans to complete the buyback over the next 12 months, but will keep the form and quantum of the programme under review.
In a trading update earlier this month, Stagecoach said its full-year earnings per share expectations had increased following further "strong" trading and positive progress in the UK rail division. It did not provide any actual figures.
The company said in the update that like-for-like revenue in the UK rail division (excluding Virgin Trains and East Coast) was up 1.4% in the 44 weeks to 2 March, while revenue in Virgin Rail Group was 6.7% higher.
At 1320 BST, the shares were up 2.7% at 118.60p.