Except they have financed the debt buyback (yield 7.65/102 = 7.50%) by issuing new equity (current yield 0.24/3.20 = 7.50%), so this transaction is cashflow neutral on day one and marginally dilutive as the earnings stream grows. The capital raising was supposed to serve for acquisitions at 4*EBIT, and the acquisition pipeline is now "off track" without further explanation. Sorry but I am not impressed by the way capital management is being carried out.
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