An effective buyback is about using the company's money to buy its own stock as cheap as possible to benefits the long term holders of the company.
Why jack the price up for the people that are selling now?
From the announcement: "We now see the timing as appropriate to undertake an on-market buy-back. This will benefit: - shareholders who wish to exit the register by improving liquidity - long-term shareholders by acquiring and cancelling Diploma shares."
CPS will be speaking to block holders and I would think that it will be all off-market transfers at the current price or less, not higher. They will ever so slowly accumulate on-market while holding out for the nominees.
I'm not going to vent my views on the buyback, you know them.
Regards Pep
PS. Zero Nominees is Euroz. (look at the two words).
DGX Price at posting:
26.9¢ Sentiment: None Disclosure: Not Held
