Coty increases share buyback program by $600 million

Coty Inc. (COTY) said late Monday that its board has increased the company's share buyback program authorization by an additional $600 million, to a total of about $1 billion. The goal is to accommodate a planned hedged share buyback transaction of an additional 25 million shares in fiscal 2026, the company said. The agreements are in addition to previously announced hedge transactions for the planned buyback of 27 million shares in the third quarter of fiscal 2024 and 23 million shares in fiscal 2025, the company said. The hedge transactions "are part of Coty's target to reduce its diluted share count toward 800 million by FY26," the company said. Coty said it expects "continued strong free cash flow generation" and to achieve a "steady" deleverage. Shares of Coty rose 1.3% in the extended session Monday after a rise of 0.8% in the regular session.

-Claudia Assis

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11-13-23 1807ET

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