Repurchases of own shares
The 2013 Annual General Meeting authorised the Board of Directors, during the period until the 2014 annual general meeting, to resolve on aquisition of the bank's own shares in Swedbank AB. The buyback-authorization is justified as one of several measures to give the Board of Directors the possibility to continuously adapt the bank‟s capital structure to existing capital needs.
Swedbank’s total holding of own shares, including the shares traded on its own account within the securities operations, shall not exceed 10 per cent of the total number of Swedbank shares. Swedbank holds 33 million of its own ordinary shares (excl shares the securities operations may hold) to hedge its commitment to the performance and share-based remuneration programmes.
The repurchases will take into consideration Swedbank’s capital situation, prevailing regulations and market conditions. The purpose of the repurchase programme is to continuously adapt Swedbank’s capital structure to its capital needs. In addition to reporting via Nasdaq OMX Stockholm AB updated information concerning the repurchases will be found on this web page.
Repurchases within the securities operations
Swedbank, as previously, needs to acquire its own shares within its securities operations in order to facilitate its securities business activities. This, among other things, enables the Bank to:
- fullfil its market-maker commitment according to agreements with certain market places, including with Nasdaq OMX Stockholm in respect of warrants in the bank;
- quote prices of the Bank’s shares to customers, as well as the share prices of other listed companies; and
- manage the risk coverage of index-linked bonds issued by the Bank as well as index baskets and warrants where the Bank is itself responsible for part of the risk coverage.
Consequently, the 2012 Annual General Meeting decided to permit the Bank’s securities operations, for the period up to the 2013 Annual General Meeting, to purchase Swedbank shares to the extent that the total holding of such shares at any given time does not exceed 1 per cent of the total number of shares in Swedbank and at a price equivalent to the prevailing market price at any given time.
C shares repurchase
The C shares were issued and repurchased on 6 May 2011 in order to hedge the arrangements related to Swedbank’s undertakings regarding the incentive programme for 2010. All C-shares were cancelled during May 2012.