By Maitane Sardon


Shares in Cellnex rose after the Spanish telecommunications-infrastructure company said it would launch a share-buyback program of up to 800 million euros ($824.7 million) during the first quarter.

Shares traded 4.1% higher at 30.01 euros in early trading Wednesday.

Cellnex said late Tuesday that the program would be executed once it completes the disposal of its Cellnex Ireland business. The company sold the business to Phoenix Tower International for around 971 million euros in March.

Cellnex will buy up to 40 million of its own shares, but said the number will depend on the average price at which they are acquired.

The buyback brings shareholder returns forward by one year as expected, but at a scale significantly ahead of the 400 million to 500 million euros consensus had forecast, Jefferies analysts said in a research note.

The move is positive for the company, which trades at a substantial 35% discount to peers in the sector, the analysts added.


Write to Maitane Sardon at maitane.sardon@wsj.com


(END) Dow Jones Newswires

01-15-25 0344ET