Nokia Corporation: Repurchase of Own Shares

Overview

On 31 January 2025, Nokia Corporation announced that it has acquired its own shares on the stock exchange. The company purchased 872,093 shares with a weighted average price of 4.49 EUR per share. This move is part of Nokia’s share buyback program initiated by its Board of Directors in November 2024.

Share Buyback Program

In November 2024, Nokia’s Board of Directors announced a share buyback program to offset the dilutive effect of new shares issued to the shareholders of Infinera Corporation and certain Infinera Corporation share-based incentives. The program is in compliance with the Market Abuse Regulation, the Commission Delegated Regulation, and the authorization granted by Nokia’s Annual General Meeting in April 2024.

Impact on Shareholders

Share buyback programs like the one initiated by Nokia can have a positive impact on shareholders. By repurchasing shares, the company can reduce the number of outstanding shares, which could lead to an increase in earnings per share and potentially boost the stock price.

Effect on the World

From a broader perspective, Nokia’s share buyback program reflects the company’s confidence in its financial position and long-term growth prospects. By repurchasing shares, Nokia is signaling to the market that it believes its stock is undervalued and that it is committed to creating value for shareholders.

Conclusion

In conclusion, Nokia Corporation’s repurchase of its own shares is a strategic move that aims to benefit both the company and its shareholders. By implementing a share buyback program, Nokia is taking proactive steps to enhance shareholder value and demonstrate its commitment to long-term sustainable growth.