The mobile and broadband operator, which has roped in Goldman Sachs as principal of the programme, said the buy-backs will start on July 26 and end by Nov. 17.
Earlier in the day, Vodafone reported a better-than-expected rise in first-quarter service revenue as more stores reopened and tourism made a tentative return following last year's COVID-19 disruption.
The British company had said in May free cash flow would increase to at least 5.2 billion euros ($6.12 billion) this year, after it met its target of "at least" 5 billion euros in the year to end-March.
($1 = 0.8499 euros)
(Reporting by Aby Jose Koilparambil in Bengaluru; Editing by Krishna Chandra Eluri)