Repurchased own ordinary shares reached 5% of Tenaris’s voting rights

Rhea-AI Summary

Tenaris S.A. (NYSE and Mexico: TS and EXM Italy: TEN) has announced that its share buyback program has reached a significant milestone. As of November 20, 2024, the company's treasury holdings of repurchased ordinary shares have reached 5.01% of total voting rights. The company confirms that these repurchased shares are currently held in treasury with suspended voting rights and will be cancelled in the future. Details of share buyback transactions can be found on the company's investor relations website.

Positive

• Share buyback program reached significant 5.01% threshold, indicating strong capital return to shareholders
• Company plans to cancel treasury shares, potentially increasing value per share for remaining shareholders

Negative

• Reduction in total outstanding shares and voting rights
• Cash expenditure for share repurchases impacts company's available capital

Insights

Financial Analyst

The 5.01% share buyback milestone signals Tenaris's strong commitment to returning value to shareholders. With a market cap of $21.3 billion, this repurchase represents approximately $1.07 billion worth of shares. Share buybacks typically support stock price by reducing the number of outstanding shares and increasing earnings per share. The decision to cancel these treasury shares will permanently reduce the share count, potentially increasing the ownership stake of existing shareholders. This move reflects management's confidence in the company's financial position and their view that the stock may be undervalued at current levels.

The suspension of voting rights for treasury shares and planned cancellation demonstrates good corporate governance practices. The systematic execution of the buyback program, with regular transparency reports, provides stability and predictability to the market.

LUXEMBOURG, Nov. 22, 2024 (GLOBE NEWSWIRE) -- Pursuant to applicable Luxembourg Transparency Law requirements, Tenaris S.A. (NYSE and Mexico: TS and EXM Italy: TEN) announces that on November 20, 2024, the proportion of own ordinary shares acquired under the share buyback programs and currently held in treasury has reached a threshold of 5.01% of Tenaris’s voting rights.  Ordinary shares repurchased under the programs are being held in treasury (their voting rights are suspended) and will be cancelled in due course. Reporting of share buyback transactions in accordance with Market Abuse Regulation is available at: https://ir.tenaris.com/share-buyback-program.

Some of the statements contained in this press release are “forward-looking statements”. Forward-looking statements are based on management’s current views and assumptions and involve known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied by those statements. These risks include but are not limited to risks arising from uncertainties as to future oil and gas prices and their impact on investment programs by oil and gas companies.

Tenaris is a leading global supplier of steel tubes and related services for the world’s energy industry and certain other industrial applications.

Giovanni Sardagna        
Tenaris
1-888-300-5432
www.tenaris.com

FAQ

What percentage of voting rights does Tenaris's (TS) share buyback program represent as of November 20, 2024?

As of November 20, 2024, Tenaris's share buyback program represents 5.01% of the company's voting rights.

What will happen to the shares repurchased by Tenaris (TS) under its buyback program?

The repurchased shares are currently held in treasury with suspended voting rights and will be cancelled in due course.

Where can investors find detailed information about Tenaris's (TS) share buyback transactions?

Investors can find detailed information about share buyback transactions on Tenaris's investor relations website at ir.tenaris.com/share-buyback-program.