BNP Paribas launches €900 million share buyback program

The French international banking group BNP Paribas launches €900 million share buyback program on the strength of its confirmed growth potential and solid balance sheet and performances.

The bank has received the approval from the European Central Bank and a contract was concluded with an investment services provider acting independently to purchase the shares.

The duration of the purchase will start from November, 1st 2021 and will end no later than February, 8th 2022, according to a FactSet consensus estimate, third-quarter net profit came in at €2.5bn, up from €1.89bn a year earlier and ahead of analysts’ expectations of €2.29bn.

The share buyback program will be carried out in accordance with the provisions set out in the EU Regulation of the European Parliament and of the Council of April, 16th 2014 on market abuse and its implementing provisions, and within the limits of the general authorisation granted to
BNP Paribas to purchase shares on the market pursuant to the 5th resolution adopted by the General Meeting of BNP Paribas on May 18th, 2021.

The bank’s bottom-line was helped by lower loan-loss provisions

which came in at €706m, down from €1.25bn in the same period a year ago, when banks were still preparing for potentially huge losses on loans to consumers and businesses due to the pandemic.

The General Meeting has authorised the Board of Directors to purchase a number of shares representing up to 10% of the shares comprising the share capital of BNP Paribas, or, for illustrative purposes, as of July 19th 2018, the date on which the share capital was last recorded, a maximum of 124,979,856 shares.

Based on a maximum repurchase price of EUR 73 per share, set by the fifth resolution approved by the General Meeting dated May 18th, 2021, this number of shares represents a theoretical maximum purchase amount of EUR 9,123,529,488. Such limit is likely to change in case of transactions affecting the share capital.