Plus500 Continues Share Buybacks, Spends Almost £298K
As Plus500 continues its share buyback program, in which the online trading provider plans to repurchase $30 million of its own shares, the company announced this Thursday that it has repurchased 23,000 of its own ordinary shares.
According to a regulatory statement filed via the news service of the London Stock Exchange (LSE), the Israel-based broker said that it had repurchased 23,000 of its own shares, each through Credit Suisse Securities (Europe) Limited, on the 13th of May 2020.
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So how much did the broker pay for the latest batch of shares? According to the statement, Plus500 paid a volume-weighted average price of £12.96 per share. Therefore, the firm paid around £297,967.30 for the latest batch of shares.
Plus500 share price continues to rise
For this recent round of share buybacks, the lowest price paid per share was £12.87 and the highest price paid per share was £13.04. This is in stark contrast to what the broker was paying for its shares just months ago.
As Finance Magnates reported, at the beginning of March Alon Gonen, a Co-Founder of Plus500, purchased 445,064 shares valued at £9.38, therefore, he spent more than £4.17 million.
Had Gonen purchased the same amount of shares at the current average price (£12.96) he would have to pay around £5.77 million, which clearly shows how much the broker’s share price has increased.
In fact, Plus500’s share price has had consistent upward momentum since the 16th of March 2020. The beginning of this rise coincided with the London listed broker revealing that it was benefiting from coronavirus-fuelled volumes in a trading update, which it published on March 16.
As Finance Magnates reported, it has continued to see a significantly increased level of customer trading activity since its last trading update. Specifically, the broker said: “Following the Trading Update issued on 28 February 2020, the Company has continued to see a significantly increased level of customer trading activity alongside strong momentum across all financial and operational KPIs.”
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