Idemitsu Kosan to buy back shares worth JPY70bn

Idemitsu Kosan (TSE: 5019) announced a plan to repurchase 60,737,500 shares of its common stock for ¥70 billion through a ToSTNeT-3 transaction. The repurchase is part of the company's shareholder return policy and a strategy to optimize its capital structure, aiming for a 10% ROE in fiscal 2025. The transaction is facilitated by an Accelerated Share Repurchase (ASR) agreement with Daiwa Securities, who will initially borrow shares to fulfill the order. A potential adjustment mechanism is in place involving a new share warrant, whereby the final number of shares acquired by Idemitsu may vary depending on the average stock price during a defined period. The average VWAP will be calculated from March 21, 2025, until the day before the warrant is exercised. The buyback commences March 19.