Lloyds kicks off £1.75bn share repurchase programme

Lloyds Banking Group launched a share buy-back programme on Friday, to repurchase up to £1.75bn of ordinary shares, as it had previously announced on 20 February.

The FTSE 100 bank said it had entered into agreements with Morgan Stanley and UBS to conduct the share buyback programme on its behalf, and to make trading decisions under the programme independently of the company.

Under the terms of the programme, the maximum consideration would be £1.75bn.

Lloyds said the programme begin commence on 1 March, and would end no later than 31 December, with the sole purpose of the programme to reduce the ordinary share capital of the firm.

“The joint brokers will purchase the company's ordinary shares as principal and sell them on to the company in accordance with the terms of their engagement,” the Lloyds Banking Group board said in its statement.

“The company intends to cancel the shares it purchases through the programme.”