Abu Dhabi’s IHC seeks to reward investors after surge putters out
The $240 billion conglomerate is planning a $1.4 billion buyback two years after the shares rocketed by 43,000%
The Abu Dhabi Securities Exchange's ADX logo is seen on a smartphone. (Photo: Getty Images)
International Holding Co., the $240 billion conglomerate that grew out of an obscure Emirati fish farming business, is seeking to reward shareholders as the company’s phenomenal growth spurt has stalled.
The Abu Dhabi-based firm, led by Sheikh Tahnoon Bin Zayed, brother of the UAE’s President, is making plans for a $1.4 billion buyback program aimed at reviving its stock price to “create significant value in the future,” CEO Syed Basar Shueb tells Bloomberg.
Between 2019 and 2022, IHC shares on the Abu Dhabi Securities Exchange rocketed 43,000%. Over the past two years, however, they’ve leveled off and hovered around the level of 400 dirhams.
IHC announced the buyback program May 6 and plans to execute the plan over a one-year period, pending approval from investors and regulators.
“This is our strategy for rewarding our shareholders,” Shueb said.