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Tenaris to Commence a USD 700 million Share Buyback Program

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Tenaris has announced a new USD 700 million Share Buyback Program starting November 11, 2024, and ending March 26, 2025. The program will be executed through a non-discretionary agreement with a bank that will make independent trading decisions. The buyback is to 46,373,915 ordinary shares, representing 3.93% of the company's issued share capital. This follows a previous USD 1.2 billion buyback program that concluded on August 2, 2024, which resulted in the purchase of shares representing 6.07% of total issued share capital. Purchased shares under the new program will be cancelled.

Tenaris ha annunciato un nuovo programma di riacquisto di azioni da 700 milioni di USD che inizierà l'11 novembre 2024 e terminerà il 26 marzo 2025. Il programma sarà eseguito attraverso un accordo non discrezionale con una banca che prenderà decisioni di trading indipendenti. Il riacquisto riguarderà 46.373.915 azioni ordinarie, corrispondenti al 3,93% del capitale sociale emesso dalla società. Questo segue un precedente programma di riacquisto da 1,2 miliardi di USD che si è concluso il 2 agosto 2024, il quale ha portato all'acquisto di azioni rappresentanti il 6,07% del capitale sociale emesso totale. Le azioni acquistate nell'ambito del nuovo programma saranno annullate.

Tenaris ha anunciado un nuevo programa de recompra de acciones de 700 millones de USD que comenzará el 11 de noviembre de 2024 y finalizará el 26 de marzo de 2025. El programa se llevará a cabo a través de un acuerdo no discrecional con un banco que tomará decisiones de trading independientes. La recompra se destinará a 46.373.915 acciones ordinarias, que representan el 3,93% del capital social emitido de la empresa. Esto sigue a un anterior programa de recompra de 1.200 millones de USD que concluyó el 2 de agosto de 2024 y que resultó en la compra de acciones que representan el 6,07% del capital social emitido total. Las acciones adquiridas bajo el nuevo programa serán canceladas.

테나리스는 2024년 11월 11일부터 2025년 3월 26일까지 진행되는 새로운 7억 달러 규모의 자사주 매입 프로그램을 발표했습니다. 이 프로그램은 독립적인 거래 결정을 내릴 은행과의 비자율 계약을 통해 시행될 것입니다. 매입 대상은 46,373,915주로, 회사의 발행 주식 자본의 3.93%를 차지합니다. 이는 2024년 8월 2일에 종료된 이전의 12억 달러 규모 자사주 매입 프로그램에 이어 진행되는 것으로, 이 프로그램에서는 전체 발행 주식 자본의 6.07%에 해당하는 주식이 매입되었습니다. 새로운 프로그램으로 취득한 주식은 취소될 것입니다.

Tenaris a annoncé un nouveau programme de rachat d'actions de 700 millions USD qui commencera le 11 novembre 2024 et se terminera le 26 mars 2025. Le programme sera exécuté par le biais d'un accord non discrétionnaire avec une banque qui prendra des décisions de trading indépendantes. Le rachat concernera 46.373.915 actions ordinaires, représentant 3,93% du capital social émis de la société. Cela fait suite à un précédent programme de rachat de 1,2 milliard USD qui s'est conclu le 2 août 2024 et qui a entraîné l'achat d'actions représentant 6,07% du capital social émis total. Les actions achetées dans le cadre du nouveau programme seront annulées.

Tenaris hat ein neues Aktienrückkaufprogramm im Wert von 700 Millionen USD angekündigt, das am 11. November 2024 beginnt und am 26. März 2025 endet. Das Programm wird durch eine nicht diskretionäre Vereinbarung mit einer Bank durchgeführt, die unabhängige Handelsentscheidungen treffen wird. Der Rückkauf betrifft 46.373.915 Stammaktien, was 3,93% des ausgegebenen Aktienkapitals des Unternehmens entspricht. Dies folgt auf ein vorhergehendes Rückkaufprogramm im Wert von 1,2 Milliarden USD, das am 2. August 2024 abgeschlossen wurde und das zum Kauf von Aktien führte, die 6,07% des gesamten ausgegebenen Aktienkapitals ausmachten. Die im Rahmen des neuen Programms gekauften Aktien werden storniert.

Positive
  • USD 700 million commitment to return capital to shareholders
  • Previous successful completion of USD 1.2 billion share buyback program
  • Share cancellation policy will reduce share count, potentially increasing EPS
  • Program represents remaining 3.93% allowance under shareholder authorization
Negative
  • Significant cash outlay of USD 700 million may reduce funds available for operations or growth
  • to 3.93% of share capital due to previous buyback utilizing most of the 10% authorization

Insights

The $700 million share buyback program represents a significant capital return initiative, following the completion of a larger $1.2 billion buyback that retired 6.07% of shares. This new program targets the remaining 3.93% of authorized repurchase capacity, demonstrating strong commitment to shareholder value. The structured execution through a bank arrangement ensures compliance and steady implementation, while the relatively short timeframe (November 2024 to March 2025) suggests an aggressive repurchase pace.

With a market cap of $21.2 billion, this buyback represents approximately 3.3% of Tenaris's market value. The company's decision to continue share repurchases signals management's confidence in business fundamentals and their view that shares may be undervalued. The cancellation of repurchased shares will enhance earnings per share and return on equity metrics through share count reduction.

LUXEMBOURG, Nov. 10, 2024 (GLOBE NEWSWIRE) -- Tenaris S.A. (NYSE and Mexico: TS and EXM Italy: TEN) (“Tenaris”) announced today that pursuant to its USD700 million Share Buyback Program (the “Program”) announced on November 6, 2024, to be executed in the open market, it has entered into a non-discretionary buyback agreement with a primary financial institution (the “Bank”).

The Bank will make its trading decisions concerning the timing of the purchases of Tenaris’s ordinary shares independently of and uninfluenced by Tenaris and will act in compliance with applicable rules and regulations, including the Market Abuse Regulation 596/2014 and the Commission Delegated Regulation (EU) 2016/1052 (the “Regulations”). Under the buyback agreement, purchases of shares may continue during any closed periods of Tenaris in accordance with the Regulations.

This Program shall start on November 11, 2024, and end no later than March 26, 2025. Ordinary shares purchased under this Program will be cancelled in due course.

Any buyback of ordinary shares pursuant to this Program will be carried out under the authority granted by the general meeting of shareholders held on June 2, 2020. Under the previous $1.2 billion share buyback, which ran from November 5, 2023 to August 2, 2024, the Company purchased a total number of ordinary shares representing 6.07% of its total issued share capital measured as at the launch of the program. This Program will cover up to USD 700 million (excluding customary transaction fees), subject to a maximum of 46,373,915 ordinary shares representing the remainder 3.93% of the Company’s issued share capital (measured also as at the launch of the previous program) that may be repurchased under the above-referred authority (which authorizes repurchases up to a maximum of 10% of the share capital). The general meeting of shareholders of the Company may extend or renew such authority at any time and from time to time.

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 is the size of Tenaris (TS) new share buyback program in 2024?

Tenaris announced a USD 700 million share buyback program starting November 11, 2024, and ending March 26, 2025.

How many shares can Tenaris (TS) repurchase under the 2024 buyback program?

Tenaris can repurchase up to 46,373,915 ordinary shares, representing 3.93% of the company's issued share capital.

When does Tenaris (TS) 2024 share buyback program end?

The share buyback program will end no later than March 26, 2025.

What was the size of Tenaris (TS) previous share buyback program?

Tenaris's previous share buyback program was USD 1.2 billion, which ran from November 5, 2023 to August 2, 2024, and repurchased 6.07% of total issued share capital.

Tenaris S. A.

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