Shell plc completed a share buyback of 1,472,298 shares on January 6, 2026, with a volume‑weighted average price of £27.6788. The repurchase comprised 735,166 shares on the London Stock Exchange and 737,132 shares on the Euronext Amsterdam venue, and all shares were cancelled to reduce the company’s outstanding capital.
The buyback is part of a $3.5 billion program announced on October 30, 2025, managed by Merrill Lynch International and scheduled to conclude on January 30, 2026. The program’s objective is to reduce issued share capital and return capital to shareholders through a disciplined capital‑allocation strategy.
The volume of shares repurchased on January 6 represents roughly 42% of the total shares targeted for cancellation under the program, a significant portion of the overall plan. Canceling these shares reduces the share count, which can lift earnings per share and support the company’s valuation metrics.
Shell’s strong cash‑flow position underpins the buyback. The company generated $12.2 billion in cash flow from operations in the preceding quarter, while its net debt stood at $12.4 billion, providing the liquidity needed to fund the program without compromising its financial flexibility.
Management highlighted that the buyback aligns with the company’s broader shareholder‑return policy, which targets 48% of cash flow from operations distributed to shareholders through dividends and share repurchases. The program reflects a commitment to disciplined capital allocation and confidence in the company’s valuation.
Investors viewed the buyback positively, interpreting it as a signal of management’s confidence and a mechanism to enhance shareholder value. The program’s completion is expected to strengthen Shell’s capital structure and support its long‑term growth initiatives.
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