JAKARTA. PT Japfa Comfeed Indonesia Tbk (JPFA), an animal feed and processed food manufacturer, will issue a shares buyback with a budget set to IDR 350 billion.

The management of JPFA mentioned that the number of shares that will be repurchased by the company with said budget is a maximum of 1.5% of total issued and paid-up capital. “The buyback price will be set according to the regulations stated in POJK No. 29/2023,” said the management in the official disclosure.

One of the reasons behind buyback of JPFA is to facilitate the return of surplus of cash and funds to shareholders in a beneficial, effective, and efficient fashion. According to IDNFinancials data, as of now, 55.43% of JPFA are under control of Japfa Ltd. Meanwhile, public investors share another 43.73%, while the remaining 0.48% are stored as treasury stock.

JPFA will hold an Extraordinary General Meeting of Shareholders (EGMS) on April 3, 2024, in order to gain approval regarding the buyback plan. The buyback is projected to take place after the company used up its entire treasury shares until April 3, 2025.

Based on IDNFinancials record, JPFA’s stock price has moved up 0.43% or 5 points to IDR 1,155 per share since today’s (27/2) opening bell. However, within the past year, JPFA’s stock price has shrunk 12.21% or 160 points. (KR/ZH)