8-K

CRH PUBLIC LTD CO 8-K Report (Apr 15, 2008)

Filed April 15, 2008For Securities:CRH

Summary

CRH Public Limited Company (CRH) filed a Form 6-K on April 15, 2008, detailing recent transactions involving its own shares. The company announced that on April 14, 2008, it repurchased 46,000 ordinary shares at prices ranging from EUR23.25 to EUR23.49 per share. These repurchased shares are intended to be held as treasury shares. Additionally, CRH transferred 7,500 ordinary shares to a participant in an employee share scheme at a price of EUR19.68 per share. Following these transactions, CRH now holds 9,341,439 ordinary shares in treasury, with 537,885,755 ordinary shares outstanding (excluding treasury shares). These actions indicate the company's ongoing capital management strategies, including share repurchases and employee equity programs.

Key Highlights

  • 1CRH repurchased 46,000 ordinary shares on April 14, 2008, as part of a share repurchase program.
  • 2The average repurchase price for the shares was between EUR23.25 and EUR23.49.
  • 3The repurchased shares will be held as treasury shares.
  • 4CRH transferred 7,500 ordinary shares to an employee share scheme participant.
  • 5The transfer price for employee shares was EUR19.68.
  • 6Following these transactions, CRH holds 9,341,439 ordinary shares in treasury.
  • 7The number of outstanding ordinary shares, excluding treasury shares, is 537,885,755.

Frequently Asked Questions

This 8-K filing, specifically a Form 6-K for foreign issuers, reports on transactions involving CRH's own shares, including a share repurchase program and a transfer to an employee share scheme.

While the filing doesn't explicitly state the reason, share repurchases are often undertaken to return value to shareholders, offset dilution from employee stock options, or signal management's confidence in the company's valuation.

Treasury shares are shares that a company has repurchased from the open market. Companies may hold treasury shares for various reasons, including reissuing them for employee stock plans, acquisitions, or to offset future share issuances, thereby potentially managing earnings per share.

The repurchase price (EUR23.25-EUR23.49) reflects the market price at which CRH bought back shares, while the transfer price to employees (EUR19.68) is likely based on the terms of the specific employee share scheme, which could be at a discount or based on a prior valuation date.