It's understood Vocus has been asked to consider an on-market buyback to help provide support. With the stock closing at $5.49 on Wednesday - well below what most sell-side brokers think it is worth - an on-market buyback would have to be earnings accretive.
The question is whether it has the capital to pull off such a move. It's a tough question for outsiders to answer given Vocus' many moving parts. What the company has said is that it had 19 per cent gearing and net debt worth less than 2-times proforma earnings before interest, tax, depreciation and amortisation as at June 30.