(Updated) Nintendo buys back 9.5 million of its own shares
As reported yesterday, Nintendo have purchased 9.5 million of their own shares, as reported in this official notification. The total cost for the acquisition was 114,237,500,000 yen, which is about 1.13 billion USD.
The statement says that the reason for acquisition is:
To improve capital efficiency as a flexible capital policy in accordance with the changes in the business environment
Yesterday’s notification highlighted the company’s intention to acquire up to 9.5 million shares.
The recent Q3 financial results revealed Nintendo’s plan to repurchase up to 10 million of its shares by the end of March. However, last week’s 4.3% drop in share prices has created an opportunity to regain their stock at a lower price.
Was this a smart move by Nintendo? Let us know your thoughts below.
February 4, 2014
Not only a smart choice, buying back shares, one that will produce many indirect and direct positive results for fans of Nintendo. I want as little outside “mainstream” influence in Nintendo as possible and this move will help that which is good but only if like me you have full confidence in Nintendo.