Melexis Announces Purchase of 33,000 Shares in Continuation of Buy-Back Program
Ieper, Belgium, 24 March 2025 – Melexis, a leading supplier of micro-electronic semiconductor solutions, has announced the purchase of 33,000 of its own shares on Euronext Brussels in the period between 17 and 21 March 2025. This purchase is part of the share buy-back program initiated on 10 December 2024, with the intention to repurchase up to 850,000 Melexis shares.
Details of Share Purchases
The following table provides an overview of the shares purchased during the specified period:
| Date | Number of Shares | Average Price (€) | Min Price (€) | Max Price (€) | Buyback Amount (€) |
|---|---|---|---|---|---|
| 17/3/2025 | 6,000 | 58.94 | 58.60 | 59.30 | 353,615 |
| 18/3/2025 | 6,000 | 59.75 | 59.30 | 60.60 | 358,492 |
| 19/3/2025 | 6,000 | 58.80 | 58.55 | 59.15 | 352,829 |
| 20/3/2025 | 6,178 | 57.59 | 57.10 | 58.80 | 355,819 |
| 21/3/2025 | 8,822 | 56.13 | 55.70 | 57.30 | 495,179 |
| Total | 33,000 | 58.06 | 55.70 | 60.60 | 1,915,934 |
Impact on Melexis
With the latest purchase of 33,000 shares, Melexis now holds a total of 303,200 treasury shares, which represents a significant portion of the 850,000 shares the company intends to repurchase under this program. The buy-back program is aimed at reducing the number of outstanding shares, thereby increasing the earnings per share (EPS) for existing shareholders and potentially boosting the stock price.
Impact on Shareholders
The share buy-back program can have a positive impact on existing shareholders in several ways:
- Reduced number of outstanding shares: With fewer shares in circulation, the earnings per share (EPS) will increase, potentially leading to a higher stock price.
- Dilution protection: By buying back shares, the company reduces the impact of future share issuances or options that could dilute the ownership of existing shareholders.
- Strengthened balance sheet: Repurchasing shares can also help improve the company’s balance sheet, as treasury shares are not included in calculating debt-to-equity ratios and other financial metrics.
Impact on the World
The impact of Melexis’ share buy-back program on the world at large is less direct but can still be significant:
- Market liquidity: Large buy-back programs can reduce market liquidity for the affected shares, potentially increasing volatility and widening bid-ask spreads.
- Economic implications: Repurchasing shares can be seen as a sign of a company’s confidence in its own stock and may contribute to increased investor confidence in the overall market.
- Competition: In industries with few major players, a large buy-back program by one company could potentially impact competitors by altering the competitive landscape.
Conclusion
Melexis’ continuation of its share buy-back program with the purchase of 33,000 shares in March 2025 represents a significant step towards the company’s goal of repurchasing up to 850,000 shares. The impact of this program on Melexis and its shareholders can be substantial, with potential benefits such as increased earnings per share, dilution protection, and a stronger balance sheet. The world at large may also be affected by changes in market liquidity, investor confidence, and the competitive landscape.
As the buy-back program progresses, it will be interesting to observe how these impacts unfold and how they may evolve over time.
For more information about Melexis and its share buy-back program, please visit the company’s investor relations website: https://investors.melexis.com/
