OREANDA-NEWS.  There are two common motivations for a listed company to buy shares back from the open market – when they feel that their share price has been undervalued or simply to facilitate employee share option schemes.   The former is typically cited when the share price reaches levels that are seen to provide good value for company capital. The latter will be of particular relevance amidst tight labour markets where companies offer share bonuses to employees.

The Buy-back Process

Shareholders’ approval must have been obtained for the share buy-back scheme with the price restrictions and size clearly set out in the circular seeking shareholders’ approval. Share buy-backs are also subject to Section 76C of the Companies Act, Chapter 50. The purchase price is subject to price restrictions as approved by shareholders at the Annual General Meeting, as the case may be.  The purchase price is subject to a limit of 105% of the average closing price for market purchase; and 120% of the average closing price in the case of off-market purchases pursuant to an equal access scheme.  Companies should check the definition of the average closing price as set out in the circular to shareholders. Share buy-back is valid for the period from the date of shareholders’ approval to the date on which the next annual general meeting is held or date when the mandate is fully utilised or revoked or varied (if applicable).

Share buy-back mandates and information can be found on the company disclosure page on the SGX website, using the Announcement category and sub-category of Share Buy Back-On Market.

Recent Buy-backs

During the quarter ended 30 September 2015, there were a total of 713,797,200  shares repurchased by 77 stocks, with a total consideration of S\\$1.1 billion.

The five stocks with the largest considerations in buybacks from July to September 2015 were Global Logistic Properties, Wilmar International, Sinarmas Land, DBS Group Holdings and Singapore Airlines.

The table below is sorted by the total consideration amount in buybacks for 3Q2015, which collates the amount of shares purchased and the purchasing price of the shares. The date of the relevant share buyback mandate is also provided, in addition to the amount of shares authorised to be bought back under the mandate. The total number of shares purchased under the mandate, and the percentage of companies that issued shares that have been repurchased under the mandate, are also provided.

Name Start Date Mandate Total no of shares purchased: 3Q2015 Total Consideration: 3Q2015 (S\\$) Cum no of shares purchased to date Percent*
GLOBAL LOGISTIC PROPERTIES 7/29/2015 484,420,322 101,604,500 224,002,608.24 102,626,700 2.12
WILMAR INTERNATIONAL 4/24/2015 639,529,860 72,521,400 202,465,432.62 75,311,200 1.18
DBS GROUP HOLDINGS 4/23/2015 24,787,928 7,399,800 137,370,996.66 11,215,800 0.45
SINARMAS LAND 4/24/2015 304,195,943 151,886,900 89,691,774.99 151,886,900 4.99
SINGAPORE AIRLINES 7/30/2015 58,574,867 7,905,000 79,755,477.59 8,312,200 0.71
GENTING SINGAPORE PLC 4/21/2015 1,206,968,389 73,523,100 61,153,589.54 92,171,300 0.76
CAPITALAND 4/30/2015 85,347,558 19,778,300 55,281,101.17 19,778,300 0.46
NOBLE GROUP 4/17/2015 673,946,696 69,893,200 44,620,607.84 204,057,400 3.03
KEPPEL CORPORATION 4/17/2015 90,850,197 5,424,000 38,522,083.98 6,808,000 0.37
SINGAPORE TECHNOLOGIES ENGINEERING 4/23/2015 62,188,890 7,165,700 21,352,840.33 8,754,200 0.28
PACIFIC CENTURY REGIONAL DEVELOPMENTS 4/24/2015 273,887,290 42,732,000 17,872,375.72 70,202,400 2.56
OVERSEA-CHINESE BANKING CORPORATION 4/28/2015 199,084,946 1,220,000 11,173,437.29 4,420,000 0.11
OUE 4/30/2015 90,988,586 6,089,000 11,046,729.39 6,589,000 0.72
SINGAPORE PRESS HOLDINGS 12/2/2014 159,988,429 2,135,600 8,633,488.60 4,385,600 0.28
SILVERLAKE AXIS 10/27/2014 224,474,911 14,397,600 7,372,459.29 78,041,600 3.48
FRASER AND NEAVE 1/30/2015 101,295,155 2,824,600 5,735,845.74 2,824,600 0.20
OSIM INTERNATIONAL 3/31/2015 77,915,153 2,654,900 4,245,808.72 19,139,600 2.54
SEMBCORP INDUSTRIES 4/21/2015 35,732,431 1,241,900 4,130,262.94 1,241,900 0.07
RAFFLES EDUCATION CORPORATION 10/27/2014 101,620,523 13,508,400 3,840,714.19 40,128,600 3.95
COURTS ASIA 30/07/2014 55,573,910 8,543,600 3,238,518.55 19,036,200 3.43
GP BATTERIES INTERNATIONAL 7/30/2015 16,360,725 3,533,000 3,187,291.69 3,032,700 1.85
HYFLUX 4/29/2015 80,687,669 4,345,500 3,053,171.26 6,767,200 0.84
STRACO CORPORATION 4/29/2015 85,801,958 2,965,100 2,796,948.43 3,185,100 0.37
KSH HOLDINGS 7/24/2015 41,271,630 5,632,400 2,652,840.00 5,268,400 1.28
GLOBAL INVACOM GROUP 4/29/2015 25,744,930 10,740,000 2,303,156.99 25,744,900 9.99
LIAN BENG GROUP 9/26/2014 52,976,000 3,836,400 2,012,785.30 25,270,400 4.77
EZION HOLDINGS 4/22/2015 157,853,408 2,500,000 1,892,810.00 2,500,000 0.16
HO BEE LAND 4/28/2015 33,357,595 917,100 1,775,797.33 917,100 0.14
CENTURION CORPORATION 4/28/2015 75,687,333 3,458,400 1,457,018.38 3,458,400 0.46
PACC OFFSHORE SERVICES HOLDINGS 4/27/2015 182,000,000 4,585,900 1,420,807.68 4,685,900 0.26
ASPIAL CORPORATION 4/28/2015 185,307,859 3,550,000 1,204,190.06 2,550,000 0.14
HTL INTERNATIONAL HOLDINGS 4/28/2015 40,474,291 5,137,200 1,184,665.43 5,137,200 1.27
KEONG HONG HOLDINGS 29/01/2015 23,295,000 2,500,000 1,152,646.00 7,000,000 3.00
CHUAN HUP HOLDINGS 10/24/2014 93,353,245 3,500,000 1,147,327.80 3,500,000 0.37
WING TAI HOLDINGS 10/28/2014 78,775,586 639,800 1,047,433.79 7,899,200 1.00
PACIFIC RADIANCE 4/28/2015 72,575,501 3,409,600 1,032,554.77 3,409,600 0.47
TAT HONG HOLDINGS 7/29/2015 62,973,682 1,735,500 835,527.55 2,207,900 0.35
NAM CHEONG 4/24/2015 210,109,388 4,656,000 833,321.55 4,628,000 0.22
TECHNICS OIL & GAS 1/30/2015 23,493,297 1,100,000 746,808.19 4,257,000 1.81
FSL TRUST MANAGEMENT 4/29/2015 64,864,787 4,226,700 701,730.96 8,454,900 1.30
SARINE TECHNOLOGIES 4/20/2015 34,888,829 380,000 635,706.78 440,000 0.13
FRAGRANCE GROUP 10/4/2015 671,485,000 3,000,000 622,463.00 3,000,000 0.04
LUM CHANG HOLDINGS 10/28/2014 38,356,860 1,494,700 568,977.51 1,494,700 0.39
BUMITAMA AGRI 4/27/2015 175,753,184 754,400 568,388.16 754,400 0.04
SUNVIC CHEMICAL HOLDINGS 4/29/2015 53,365,064 2,650,000 554,024.84 1,650,000 0.31
GP INDUSTRIES 30/07/2014 49,629,448 778,300 531,325.18 10,406,600 2.10
BRC ASIA 1/23/2015 18,772,168 757,300 508,533.33 983,500 0.52
SOUP RESTAURANT GROUP 4/30/2015 28,560,700 2,084,200 426,814.77 2,084,200 0.73
PEC 28/10/2014 25,515,700 1,000,000 416,044.00 380,000 0.15
BREADTALK GROUP 4/22/2015 28,183,724 334,500 375,935.63 481,500 0.17
AMARA HOLDINGS 4/29/2015 57,602,610 730,500 359,624.09 890,500 0.15
MARCO POLO MARINE 29/01/2015 33,737,900 1,464,900 352,186.00 4,201,400 1.25
POWERMATIC DATA SYSTEMS 7/24/2015 3,480,262 595,800 289,883.98 301,560 0.87
KTL GLOBAL 10/20/2014 22,515,934 1,403,000 219,764.47 1,403,000 0.62
NORDIC GROUP 4/29/2015 40,000,000 1,086,500 184,770.25 1,086,500 0.27
MEMTECH INTERNATIONAL 4/29/2015 70,592,000 1,515,600 177,727.88 1,515,600 0.22
TREK 2000 INTERNATIONAL 4/24/2015 29,711,692 550,800 166,928.46 550,800 0.19
TELECHOICE INTERNATIONAL 27/04/2015 45,442,149 486,000 136,097.00 2,449,300 0.54
POH TIONG CHOON LOGISTICS 4/30/2015 21,402,940 171,000 129,248.73 698,500 0.33
VIKING OFFSHORE AND MARINE 4/28/2015 79,278,819 2,132,800 121,162.00 2,132,800 0.27
GLOBAL PALM RESOURCES HOLDINGS 4/23/2015 40,807,440 765,300 119,250.56 815,300 0.20
CNMC GOLDMINE HOLDINGS 28/04/2015 40,769,300 400,000 101,394.00 400,000 0.10
DEL MONTE PACIFIC 8/28/2015 97,201,770 297,900 87,985.38 297,900 0.02
A-SONIC AEROSPACE 4/30/2015 17,876,807 462,000 84,493.12 509,000 0.29
RYOBI KISO HOLDINGS 20/10/2014 74,422,824 725,400 75,980.00 2,605,400 0.35
SUPER GROUP 4/27/2015 27,879,949 100,000 75,176.55 100,000 0.01
BUND CENTER INVESTMENT 4/24/2015 151,770,272 333,000 61,898.52 333,000 0.01
KOH BROTHERS GROUP 29/04/2015 41,634,090 140,000 43,515.00 1,360,900 0.33
PLASTOFORM HOLDINGS 4/29/2015 4,019,999 100,000 30,162.00 100,000 0.25
VIBROPOWER CORPORATION 4/28/2015 33,550,912 1,000,000 26,373.33 1,000,000 0.30
TIONG SENG HOLDINGS 4/24/2015 45,962,384 116,000 23,602.35 116,000 0.03
USP GROUP 7/31/2015 65,620,223 216,200 12,021.07 15,009,200 2.29
AEM HOLDINGS 4/28/2015 4,434,768 40,000 10,911.52 15,000 0.03
MENCAST HOLDINGS 4/27/2015 35,939,330 50,000 10,047.88 50,000 0.01
CHASEN HOLDINGS 7/29/2015 29,197,929 130,000 8,588.33 130,000 0.05
HOE LEONG CORPORATION 4/30/2015 56,279,072 110,000 5,215.02 110,000 0.02
BAN LEONG TECHNOLOGIES 7/24/2015 11,607,600 23,000 4,574.74 23,000 0.02

Global Logistic Properties

On 29 July 2015, a share buyback resolution was passed for Global Logistic Properties. In the third quarter, Global Logistic Properties repurchased a total number of 101,604,500 shares with a total consideration of S\\$224,002,608.

The maximum number of shares authorised for the buyback transaction was 484,420,322. As of 30 September, by way of acquisition, Global Logistic Properties had purchased a cumulative amount of 102,626,700 shares under the 29 July 2015 resolution. This represented 2.12% of the company's issued shares (excluding treasury shares) as at the date of the share buyback resolution.

As of 30 September 2015, the number of issued shares excluding treasury shares stood at 4,741,738,522 and the number of treasury shares held after purchase stood at 102,626,700.

Wilmar International

On 24 April 2015, a share buyback resolution was passed for Wilmar International. In the third quarter, Wilmar International repurchased a total number of 72,521,400 shares with a total consideration of S\\$202,465,433.

The maximum number of shares authorised for the buyback transaction was 639,529,860. As 30 September, by way of acquisition, Wilmar International had purchased a cumulative amount of 75,311,200 shares under the 24 April 2015 resolution. This represented 1.18% of the company's issued shares (excluding treasury shares) as at the date of the share buyback resolution.

As of 30 September, the number of issued shares excluding treasury shares stood at 6,319,987,406 and the number of treasury shares held after purchase stood at 83,413,700.

Sinarmas Land

On 24 April 2015, a share buyback resolution was passed for Sinarmas Land. In the third quarter, Sinarmas Land repurchased a total number of 151,886,900 shares with a total consideration of S\\$89,691,775.

The maximum number of shares authorised for the buyback transaction was 304,195,943. As of 30 September, by way of acquisition, Sinarmas Land had purchased a cumulative amount of 151,886,900 shares under the 24 April 2015 resolution. This represented 5.00% of the company's issued shares (excluding treasury shares) as at the date of the share buyback resolution.

As of 30 September 2015, the number of issued shares excluding treasury shares stood at 2,890,072,537 and the number of treasury shares held after purchase stood at 151,886,900.

DBS Group Holdings

On 23 April 2015, a share buyback resolution was passed for DBS Group Holdings. In the third quarter, DBS Group Holdings repurchased a total number of 7,399,800 shares with a total consideration of S\\$137,370,997.

The maximum number of shares authorised for the buyback transaction was 24,787,928. As of 30 September 2015, by way of acquisition, DBS Group Holdings had purchased a cumulative amount of 11,215,800 shares under the 23 April 2015 resolution. This represented 0.45% of the company's issued shares (excluding treasury shares) as at the date of the share buyback resolution.

As of 30 September, the number of issued shares excluding treasury shares stood at 2,502,880,749 and the number of treasury shares held after purchase stood at 11,900,000.

Singapore Airlines

On 30 July 2015, a share buyback resolution was passed for Singapore Airlines. In the third quarter, Singapore Airlines repurchased a total number of 7,905,000 shares with a total consideration of S\\$75,755,478.

The maximum number of shares authorised for the buyback transaction was 58,574,867. As of 30 September 2015, by way of acquisition, Singapore Airlines had purchased a cumulative amount of 8,312,200 shares under the 30 July 2015 resolution. This represented 0.71% of the company's issued shares (excluding treasury shares) as at the date of the share buyback resolution.

As of 30 September, the number of issued shares excluding treasury shares stood at 1,163,193,948 and the number of treasury shares held after purchase stood at 36,657,070.