Funding Circle Plc Announces £25 Million Share Repurchase Programme

Funding Circle Holdings plc, a prominent UK SME lending platform, has initiated a share repurchase programme, aiming to buy back ordinary shares up to a total value of £25 million. This strategic move is driven by the company’s assessment that its current stock price significantly underestimates the business's actual value. The programme is designed to enhance balance sheet efficiency by reallocating excess capital back to shareholders.

In its pursuit to realign its share value, Funding Circle has tasked Numis Securities Limited with handling the share buyback process. The company plans to cancel all acquired shares to adjust its capital structure. The buyback process, compliant with London Stock Exchange regulations and the Market Abuse Regulation, is scheduled to continue until it reaches its £25 million target or up to the forthcoming Annual General Meeting in May 2024.

Funding Circle's decision is backed by the authorization from its shareholders at the 2023 Annual General Meeting, allowing the repurchase of up to 36,130,314 shares, equating to 10% of its issued share capital. Depending on the initial programme's outcome, the company may seek additional shareholder approval for further repurchases at the 2024 AGM or an earlier meeting if necessary.