Reece shares lift after announcing $35m share buyback

The news: Shares in Reece lifted after the plumbing equipment supplier announced an on-market share buyback worth up to $35 million.

The numbers: At 1:03pm AEDT, Reece shares had lifted 4.1% to $12.74, although it is still down 43.6% in the year to date.

Reece recently completed a $365 million off-market share buyback in October.

The context: The on-market share buyback is expected to commence on or after 12 December and may continue for up to 12 months. The actual number and timing of shares purchased will depend on market conditions, share price and other factors.

What they said: “We have a well-defined capital allocation framework and continue to take a long-term approach to shareholder value creation. We remain committed to maintaining a strong balance sheet with a conservative leverage ratio to fund future growth,” Reece chair and CEO Peter Wilson said.