United Internet plans buyback of own shares

15 Jan 2010

The management board of German broadband internet provider United Internet has announced plans to buy back up to five million of the company’s shares, corresponding to around 2.08% of capital stock, via the stock exchange. The resolution follows the authorisation at the Annual Shareholders’ Meeting of 26 May 2009 to buy back shares representing up to 10% of the company’s capital stock. The authorisation was issued for the period up to 25 November 2010. United Internet currently holds 10,272,371 treasury shares, corresponding to around 4.28% of capital stock. The repurchased shares could be used for current and future employee stock ownership plans and/or as an acquisition currency, but they may also be cancelled. According to TeleGeography’s GlobalComms Database, United Internet’s total customer base stood at 9.17 million at 30 September 2009, including approximately 700,000 broadband contracts from the acquisition of freenet’s DSL unit in May 2009. The company’s internet subscriber base fell however by 30,000 during the third quarter of 2009 to 3.6 million, including 3.44 million DSL customers (of which 1.7 million were all-inclusive packages and 1.74 million were re-sale DSL/T-DSL).

Germany, United Internet (1&1)