Nestlé: sells block of L'Oréal shares

(CercleFinance.com) - L'Oréal announces that its board of directors has approved a strategic operation consisting of the purchase by the group, within the framework of its share buyback programme, of 22.
26 million of its own shares, i.e. 4% of its capital, from Nestlé.

The unit price per L'Oréal share for this transaction, which is expected to be finalised in the next few days, is set at 400 euros, a discount of 5.8% to the closing price on 7 December and a total price paid to Nestlé of 8.9 billion euros.

The repurchased shares will be cancelled by 29 August 2022. Nestlé's shareholding in L'Oréal will then be reduced from 23.3% to 20.1% and all other shareholders will benefit from an accretive effect in the same proportions.

As the news is digested, both shares are up over 1%: L'Oréal +1.2%, Nestlé +1.5% at 10.30 am.


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