InterContinental Hotels Group PLC Announces Transaction in Own Shares - Feb 26

Rhea-AI Summary

InterContinental Hotels Group PLC announces the purchase of its own shares through Goldman Sachs International on the London Stock Exchange. The Company bought 6,962 ordinary shares at prices ranging from £86.0000 to £86.3400 per share. The purchased shares will be canceled, and the Company now has 165,243,022 ordinary shares in issue.

Insights

Financial Analyst

The share repurchase program executed by the company represents a strategic financial decision with direct implications on shareholder value and market perception. By reducing the number of shares outstanding, the company is effectively increasing the earnings per share (EPS), assuming net income remains constant. This can lead to a higher stock price due to the perceived increase in value per share. Additionally, the repurchase signals to the market that the company believes its shares are undervalued, which can instill confidence in investors and potentially attract new interest.

However, the capital used for share repurchases is capital not invested in other areas such as business expansion or R&D, which could have other long-term benefits. The impact on the company's financial leverage should also be considered, as the repurchase was likely funded by existing cash reserves or debt. The reduction in cash reserves or increase in debt can affect the company's financial flexibility. It's important to monitor the company's subsequent financial statements to evaluate the long-term effects of this buyback on its balance sheet and income statement.

Market Research Analyst

Share buyback programs are often well-received by the market, as they can be indicative of a company's strong financial health and management's confidence in the business. In the context of the industry, companies in the hospitality sector like InterContinental Hotels Group PLC may engage in such practices to manage their capital structure effectively, especially when facing industry-specific challenges such as fluctuating demand and intense competition.

It's important to analyze the timing of the buyback. The company has chosen to execute the purchase after obtaining shareholder approval, which demonstrates a planned approach to capital management. The market's reaction to such news typically depends on the context in which the buyback is announced, the size of the buyback relative to the company's market capitalization and the company's historical performance. Tracking the stock's performance in the days following the announcement can provide insights into investor sentiment regarding the buyback.

Corporate Governance Expert

A share repurchase program must be evaluated within the framework of corporate governance. The decision to buy back shares should be in alignment with the company's long-term strategic goals and must be communicated transparently to shareholders. The program's execution through a reputable financial institution like Goldman Sachs International adds a layer of credibility and ensures that the process adheres to market regulations.

The cancellation of the purchased shares is a definitive action that permanently reduces the number of shares outstanding, which can affect voting power distributions among remaining shareholders. It is crucial for the company to maintain a balance between delivering immediate shareholder value and preserving the ability to capitalize on future growth opportunities. The governance implications of such a transaction are significant and should be scrutinized to ensure they align with the best interests of the stakeholders.

Purchase of own shares

LONDON, UK / ACCESSWIRE / February 26, 2024 / The Company announces that on 23 February 2024 it purchased the following number of its ordinary shares of 20^340/399pence each through Goldman Sachs International ("GSI") on the London Stock Exchange in accordance with the authority granted by shareholders at the Company's Annual General Meeting on 5 May 2023 (the "Purchase"). The Purchase was effected pursuant to instructions issued by the Company on 20 February 2024, as announced on 20 February 2024.

Date of purchase:	23 February 2024
Aggregate number of ordinary shares purchased:	6,962
Lowest price paid per share:	£ 86.0000
Highest price paid per share:	£ 86.3400
Average price paid per share:	£ 86.1717

The Company intends to cancel the purchased shares.

Following the above transaction, the Company has 165,243,022 ordinary shares in issue (excluding 7,006,782 held in treasury).

A full breakdown of the individual purchases by GSI is included below.

Enquiries to:

InterContinental Hotels Group PLC:

Investor Relations: Stuart Ford (+44 (0)7823 828 739); Aleksandar Milenkovic (+44 (0)7469 905 720);

Joe Simpson (+44 (0)7976 862 072)

Media Relations: Mike Ward (+44 (0)7795 257 407)

Schedule of Purchases

Shares purchased: 6,962 (ISIN: GB00BHJYC057)

Date of purchases: 23 February 2024

Investment firm: GSI

Aggregated information:

	London Stock Exchange	Cboe BXE	Cboe CXE	Turquoise
Number of ordinary shares purchased	5,861		1,101
Highest price paid (per ordinary share)	£ 86.3400		£ 86.2800
Lowest price paid (per ordinary share)	£ 86.0000		£ 86.0000
Volume weighted average price paid(per ordinary share)	£ 86.1689		£ 86.1868

Detailed information:

Transaction Date	Time	Time Zone	Volume	Price (GBP)	Trading Venue	Transaction ID
23/02/2024	09:17:54	GMT	47	86.0600	CHIX	120000DV5
23/02/2024	09:17:54	GMT	8	86.0400	XLON	943269986967617
23/02/2024	09:17:54	GMT	36	86.0400	XLON	943269986967618
23/02/2024	09:17:54	GMT	108	86.0600	XLON	943269986967614
23/02/2024	09:22:51	GMT	99	86.0400	XLON	943269986967922
23/02/2024	09:26:48	GMT	22	86.0000	CHIX	120000EVA
23/02/2024	09:26:48	GMT	59	86.0000	CHIX	120000EVB
23/02/2024	09:26:48	GMT	13	86.0000	XLON	943269986968151
23/02/2024	09:26:48	GMT	31	86.0000	XLON	943269986968148
23/02/2024	09:26:48	GMT	49	86.0000	XLON	943269986968150
23/02/2024	09:26:48	GMT	100	86.0000	XLON	943269986968149
23/02/2024	09:27:01	GMT	14	86.0000	XLON	943269986968166
23/02/2024	09:27:01	GMT	52	86.0000	XLON	943269986968167
23/02/2024	09:34:04	GMT	10	86.0200	XLON	943269986968665
23/02/2024	09:34:04	GMT	37	86.0200	XLON	943269986968666
23/02/2024	09:35:32	GMT	35	86.0400	XLON	943269986968740
23/02/2024	09:38:40	GMT	19	86.0400	XLON	943269986968916
23/02/2024	09:38:40	GMT	26	86.0400	XLON	943269986968915
23/02/2024	09:38:40	GMT	61	86.0400	XLON	943269986968911
23/02/2024	09:38:40	GMT	101	86.0400	XLON	943269986968912
23/02/2024	09:39:10	GMT	16	86.0200	XLON	943269986968968
23/02/2024	09:39:10	GMT	16	86.0200	XLON	943269986968969
23/02/2024	09:39:10	GMT	18	86.0200	XLON	943269986968970
23/02/2024	09:40:14	GMT	6	86.0000	XLON	943269986969064
23/02/2024	09:40:14	GMT	124	86.0000	XLON	943269986969063
23/02/2024	09:45:00	GMT	11	86.2000	XLON	943269986969441
23/02/2024	09:45:00	GMT	47	86.2000	XLON	943269986969447
23/02/2024	09:45:00	GMT	66	86.2000	XLON	943269986969440
23/02/2024	09:45:08	GMT	50	86.2000	CHIX	120000GV6
23/02/2024	09:45:08	GMT	30	86.2000	XLON	943269986969466
23/02/2024	09:45:08	GMT	52	86.2000	XLON	943269986969465
23/02/2024	09:45:08	GMT	70	86.2000	XLON	943269986969464
23/02/2024	09:45:08	GMT	121	86.2000	XLON	943269986969467
23/02/2024	09:45:12	GMT	8	86.1800	XLON	943269986969471
23/02/2024	09:45:12	GMT	41	86.1800	XLON	943269986969472
23/02/2024	09:50:26	GMT	182	86.1600	XLON	943269986969769
23/02/2024	09:53:12	GMT	145	86.1800	XLON	943269986969867
23/02/2024	09:58:10	GMT	34	86.1600	CHIX	120000HWJ
23/02/2024	09:58:10	GMT	43	86.1600	CHIX	120000HWI
23/02/2024	10:00:59	GMT	16	86.1600	CHIX	120000IAS
23/02/2024	10:00:59	GMT	41	86.1600	CHIX	120000IAR
23/02/2024	10:00:59	GMT	45	86.1600	XLON	943269986970530
23/02/2024	10:03:40	GMT	14	86.1800	XLON	943269986970715
23/02/2024	10:03:42	GMT	14	86.1800	XLON	943269986970737
23/02/2024	10:03:56	GMT	14	86.1800	XLON	943269986970744
23/02/2024	10:04:34	GMT	16	86.1800	XLON	943269986970780
23/02/2024	10:04:34	GMT	28	86.1800	XLON	943269986970781
23/02/2024	10:06:35	GMT	11	86.1600	CHIX	120000IVJ
23/02/2024	10:06:35	GMT	36	86.1600	CHIX	120000IVI
23/02/2024	10:06:35	GMT	15	86.1600	XLON	943269986970961
23/02/2024	10:06:35	GMT	18	86.1600	XLON	943269986970964
23/02/2024	10:06:35	GMT	24	86.1600	XLON	943269986970962
23/02/2024	10:06:35	GMT	25	86.1600	XLON	943269986970960
23/02/2024	10:06:35	GMT	113	86.1600	XLON	943269986970963
23/02/2024	10:07:22	GMT	64	86.1400	CHIX	120000IYH
23/02/2024	10:08:19	GMT	60	86.2000	XLON	943269986971079
23/02/2024	10:08:21	GMT	2	86.2000	XLON	943269986971084
23/02/2024	10:08:21	GMT	108	86.2000	XLON	943269986971083
23/02/2024	10:08:22	GMT	67	86.1800	XLON	943269986971087
23/02/2024	10:09:22	GMT	46	86.2000	XLON	943269986971179
23/02/2024	10:09:22	GMT	48	86.2000	XLON	943269986971180
23/02/2024	10:09:24	GMT	105	86.2000	XLON	943269986971185
23/02/2024	10:09:25	GMT	16	86.2000	XLON	943269986971199
23/02/2024	10:09:25	GMT	66	86.2000	XLON	943269986971198
23/02/2024	10:09:30	GMT	72	86.2400	XLON	943269986971214
23/02/2024	10:12:27	GMT	62	86.2600	CHIX	120000JGL
23/02/2024	10:12:45	GMT	46	86.2600	CHIX	120000JHM
23/02/2024	10:12:45	GMT	100	86.2600	CHIX	120000JHL
23/02/2024	10:12:45	GMT	8	86.2800	XLON	943269986971398
23/02/2024	10:12:45	GMT	15	86.2800	XLON	943269986971397
23/02/2024	10:12:45	GMT	37	86.2800	XLON	943269986971395
23/02/2024	10:12:45	GMT	37	86.2800	XLON	943269986971396
23/02/2024	10:12:49	GMT	43	86.2800	CHIX	120000JHY
23/02/2024	10:12:49	GMT	44	86.2800	CHIX	120000JHW
23/02/2024	10:12:49	GMT	64	86.2800	XLON	943269986971414
23/02/2024	10:12:49	GMT	95	86.2800	XLON	943269986971420
23/02/2024	10:12:49	GMT	166	86.2800	XLON	943269986971413
23/02/2024	10:12:49	GMT	176	86.2800	XLON	943269986971415
23/02/2024	10:12:50	GMT	43	86.2800	CHIX	120000JI4
23/02/2024	10:12:51	GMT	45	86.2800	XLON	943269986971427
23/02/2024	10:12:51	GMT	51	86.2800	XLON	943269986971425
23/02/2024	10:12:53	GMT	92	86.2600	CHIX	120000JJ9
23/02/2024	10:12:53	GMT	60	86.2600	XLON	943269986971437
23/02/2024	10:12:53	GMT	160	86.2600	XLON	943269986971434
23/02/2024	10:13:07	GMT	74	86.2200	XLON	943269986971454
23/02/2024	10:13:07	GMT	141	86.2400	XLON	943269986971451
23/02/2024	10:13:25	GMT	44	86.1800	CHIX	120000JLW
23/02/2024	10:14:05	GMT	93	86.2200	XLON	943269986971486
23/02/2024	10:15:01	GMT	94	86.1800	XLON	943269986971520
23/02/2024	10:15:25	GMT	187	86.1600	XLON	943269986971558
23/02/2024	10:15:26	GMT	23	86.2000	XLON	943269986971577
23/02/2024	10:15:28	GMT	23	86.2000	XLON	943269986971579
23/02/2024	10:15:29	GMT	23	86.2000	XLON	943269986971582
23/02/2024	10:15:31	GMT	16	86.2000	XLON	943269986971592
23/02/2024	10:15:31	GMT	34	86.2000	XLON	943269986971591
23/02/2024	10:15:44	GMT	64	86.1600	CHIX	120000JT6
23/02/2024	10:15:44	GMT	22	86.1600	XLON	943269986971599
23/02/2024	10:15:44	GMT	57	86.1600	XLON	943269986971600
23/02/2024	10:15:44	GMT	88	86.1600	XLON	943269986971598
23/02/2024	10:17:39	GMT	72	86.1400	XLON	943269986971751
23/02/2024	10:19:23	GMT	63	86.1800	XLON	943269986971854
23/02/2024	10:19:23	GMT	86	86.1800	XLON	943269986971855
23/02/2024	10:19:46	GMT	104	86.1400	XLON	943269986971891
23/02/2024	10:19:47	GMT	16	86.1400	XLON	943269986971893
23/02/2024	10:19:47	GMT	97	86.1400	XLON	943269986971892
23/02/2024	10:20:02	GMT	8	86.1200	XLON	943269986971910
23/02/2024	10:20:02	GMT	62	86.1200	XLON	943269986971909
23/02/2024	10:20:08	GMT	41	86.1200	XLON	943269986971922
23/02/2024	10:21:33	GMT	51	86.1000	XLON	943269986972034
23/02/2024	10:22:08	GMT	6	86.1400	XLON	943269986972081
23/02/2024	10:22:08	GMT	45	86.1400	XLON	943269986972082
23/02/2024	10:23:08	GMT	23	86.1800	XLON	943269986972134
23/02/2024	10:23:10	GMT	10	86.2000	XLON	943269986972143
23/02/2024	10:23:10	GMT	37	86.2000	XLON	943269986972142
23/02/2024	10:23:10	GMT	46	86.2000	XLON	943269986972141
23/02/2024	10:24:39	GMT	4	86.1600	CHIX	120000KTU
23/02/2024	10:24:39	GMT	30	86.1600	CHIX	120000KTR
23/02/2024	10:24:39	GMT	39	86.1600	CHIX	120000KTT
23/02/2024	10:24:39	GMT	26	86.1600	XLON	943269986972220
23/02/2024	10:24:39	GMT	38	86.1600	XLON	943269986972218
23/02/2024	10:24:39	GMT	38	86.1600	XLON	943269986972219
23/02/2024	10:24:39	GMT	207	86.1600	XLON	943269986972215
23/02/2024	10:28:26	GMT	80	86.2000	XLON	943269986972466
23/02/2024	10:30:07	GMT	28	86.1600	CHIX	120000LM0
23/02/2024	10:30:07	GMT	39	86.1600	CHIX	120000LLZ
23/02/2024	10:30:07	GMT	78	86.1600	XLON	943269986972559
23/02/2024	10:34:36	GMT	134	86.1800	XLON	943269986972792
23/02/2024	10:38:36	GMT	16	86.3400	XLON	943269986973024
23/02/2024	10:38:36	GMT	20	86.3400	XLON	943269986973025

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SOURCE: InterContinental Hotels Group PLC

View the original press release on accesswire.com

FAQ

How many ordinary shares did InterContinental Hotels Group PLC purchase?

InterContinental Hotels Group PLC purchased 6,962 ordinary shares.

Which investment firm facilitated the purchase of InterContinental Hotels Group PLC shares?

Goldman Sachs International (GSI) facilitated the purchase of InterContinental Hotels Group PLC shares.

What was the lowest price paid per share by InterContinental Hotels Group PLC?

The lowest price paid per share by InterContinental Hotels Group PLC was £86.0000.

How many ordinary shares does InterContinental Hotels Group PLC have in issue after the purchase?

After the purchase, InterContinental Hotels Group PLC has 165,243,022 ordinary shares in issue.

When did InterContinental Hotels Group PLC purchase its own shares?

InterContinental Hotels Group PLC purchased its own shares on 23 February 2024.