U.K. hedge fund Man Group PLC agreed Dec. 21 to extend its original irrevocable nondiscretionary arrangement with J.P. Morgan Securities to repurchase shares on its behalf, increasing the maximum consideration to $100 million from $50 million.
The original agreement, under which 20.7 million shares were repurchased as of Dec. 24, was announced in October. The extension aims to buy back roughly 37.4 million additional issued shares. However, the repurchase program will be lower than 10% of the group's ordinary shares in issue as of Feb. 28.
The shares bought back will be canceled to reduce the company's share capital so it can meet obligations stemming from employee share option programs and other allocations of shares to employees, supervisors, administrators and management bodies of the company.