Millicom Initiates Share Repurchase Program to Boost Shareholder Value
Luxembourg, Monday, 6 January 2025.
Millicom bought 164,260 Swedish Depository Receipts to enhance shareholder value amid market fluctuations, holding 1,972,377 treasury shares as of 3 January 2025.
Strategic Market Move
Millicom International Cellular S.A. (NASDAQ: TIGO, Nasdaq Stockholm: TIGO_SDB), a leading telecommunications provider in Latin America [1], has executed significant share repurchases between December 30, 2024, and January 3, 2025. The company acquired its Swedish Depository Receipts (SDRs) through Citigroup Global Markets Limited on the Nasdaq Stockholm exchange [1]. The repurchase program, which was initially announced on November 29, 2024, demonstrates Millicom’s commitment to strategic capital allocation [1].
Transaction Details
The repurchase activity included three trading days with varying volumes: 48,973 SDRs on December 30, 2024, at SEK 272.5115 per share, 45,765 SDRs on January 2, 2025, at SEK 266.3909, and 69,522 SDRs on January 3, 2025, at SEK 266.7494 [1]. This strategic move comes at a significant time as Millicom’s depository receipts on Nasdaq Stockholm are expected to cease trading on March 17, 2025 [2].
Market Position and Future Outlook
As a major telecommunications provider, Millicom serves more than 46 million customers across Latin America through its TIGO® and Tigo Business® brands [1]. The company’s market position has shown strength, with analysts suggesting potential for significant stock price appreciation if the current trajectory continues [2]. This share repurchase program is being executed in accordance with Article 5 of MAR and the Commission Delegated Regulation No 2016/1052 (‘Safe Harbour Regulation’) [1].
Corporate Developments
The timing of this repurchase program aligns with several significant corporate developments. Handelsbanken (SHB) anticipates Millicom will resume dividend payments alongside its 2024 year-end report, expected around March 31, 2025 [2]. The company has already demonstrated strong performance, reporting an operating profit of 300 million USD for Q3 2024 [2]. With approximately 15,000 employees and a fiber-cable footprint reaching about 14 million homes, Millicom continues to strengthen its position in the telecommunications sector [1].