PT Saratoga Investama Sedaya Tbk plans to buy back a maximum of 0.92% of its shares or 25 million shares.

Based on IDX disclosure on Monday (22/3), the company seeks shareholders' approval in the EGMS before executing the share buyback plan. The company plans to hold the EGMS on April 28 or no later than June 30, 2021.

The cost incurred by the company to realize this corporate action is around Rp150 billion.

The company's main consideration in carrying out share repurchases is connected with the implementation of a long-term incentive program for employees. Also, the company views that the current share price does not reflect the actual value/performance of the company, even though the company has shown good performance.

Thus, the company seeks to have flexibility that allows it to have a mechanism to maintain stock price stability to reflect performance better.

The company will appoint PT Indo Premier Sekuritas to carry out a share buyback through the Stock Exchange.