ZTE to buy back 1.2 billion yuan worth of A shares

ZTE (0763) said it plans to buy back up to 1.2 billion yuan (HK$1.32 billion) worth of A shares as part of its employee share ownership schemes or share incentives. 

The share repurchase amount will range from 1 billion yuan to 1.2 billion yuan, according to a filing on Friday. 

Based on the maximum buyback figure, the company estimated that it would repurchase 19 million shares, or around 0.4 percent of the total total share capital. 

The share repurchase is aimed at sustaining the company’s operation and development, safeguarding and protecting the long-term interests of investors and procuring the maximisation of shareholders’ value, ZTE said.

It will also further rationalize and improve the firm’s long-term incentive and restraint mechanism to ensure the sustainable and healthy development of the company’s operations.