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BASF to Begin Share Buyback Program in November 2025

Program is part of the €4 billion share buyback announced in September 2024 until the end of 2028.

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By: KERRY PIANOFORTE

Editor, Coatings World

In view of cash proceeds already received and further proceeds expected the Board of Executive Directors of BASF SE has resolved on a share buyback program. The program, which has a volume of up to €1.5 billion, is scheduled to start in November 2025 and be concluded by the end of June 2026. It is part of the share buyback announced at the Capital Markets Day in September 2024, with a total volume of €4 billion until the end of 2028. BASF SE will cancel all repurchased shares and reduce the share capital accordingly.

Share Buyback Program

The share buyback program is based on the authorization granted by the Annual Shareholders’ Meeting of BASF SE on April 29, 2022, authorizing the Board of Executive Directors to purchase up to 10 percent of the issued shares at the time of the resolution (10 percent of the company’s share capital) until April 28, 2027. The purchase shall be conducted making use of the safe-harbor exemption for buyback programs in accordance with Article 5 of the EU Market Abuse Regulation (MAR).

In the mid term, BASF is committed to keeping the overall distribution to shareholders at least on the level of the last years through a combination of dividends and share buybacks. In this way, BASF aims to distribute at least €12 billion to shareholders from 2025 to 2028. Specifically, the company strives to pay a dividend of at least €2.25 per share or around €2 billion per year. The aggregate dividend payment of around €8 billion in the four-year period will be complemented by share buybacks in the amount of at least €4 billion. These share buybacks were originally scheduled to begin by 2027 at the latest. Part of them will now be brought forward.

Through the share buyback, available capital will be returned to shareholders, the company’s capital structure optimized and earnings per share increased. BASF will also reduce net debt to strengthen its balance sheet. The maturity profile of outstanding bonds will allow considerable deleveraging in 2026.

BASF continues to strive for a single A credit rating, which ensures unrestricted access to financial and capital markets. The company currently has a rating of A/F1/outlook stable from Fitch, of A3/P-2/outlook stable from Moody’s and A-/A-2/outlook stable from Standard & Poor’s.

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