TOKYO -- Japanese mobile carrier NTT Docomo will repurchase 2.39% of its outstanding shares for 250 billion yen ($2.2 billion), mostly from parent Nippon Telegraph & Telephone.
Docomo said Monday it intends to reacquire 93.24 million shares, including 74.59 million shares from the parent group for 200 billion yen. The carrier will buy back the remaining shares from other investors for 50 billion yen. The purchase period starts Tuesday and concludes Jan. 15.
NTT's stake in the carrier unit will drop from 63.32% to 61.4%.
Docomo looks to improve shareholder returns through an aggressive dividend policy and repurchase agreements. The current buyback will increase the company's treasury stock to 7.39% of all issued shares, with the carrier considering retiring a portion at the fiscal year-end to hold its percentage to no more than 5%.
(Nikkei)
