8-K

CRH PUBLIC LTD CO 8-K Report (Apr 25, 2008)

Filed April 25, 2008For Securities:CRH

Summary

CRH Public Limited Company (CRH) filed a Form 6-K on April 25, 2008, to report a transaction involving its own shares. On April 24, 2008, the company, through its agent Davy, repurchased 84,500 ordinary shares at prices ranging from EUR 23.07 to EUR 23.30 per share. These repurchased shares will be held as treasury shares. Following this transaction, CRH now holds 10,050,961 ordinary shares in treasury, with the total number of outstanding shares (excluding treasury shares) standing at 537,176,233. This activity indicates the company is actively managing its capital structure through share buybacks.

Key Highlights

  • 1CRH repurchased 84,500 ordinary shares on April 24, 2008.
  • 2The share repurchases were executed by Davy on behalf of CRH.
  • 3The purchase prices for the ordinary shares ranged between EUR 23.07 and EUR 23.30.
  • 4The acquired shares will be held as treasury shares.
  • 5CRH's treasury share balance increased to 10,050,961 ordinary shares.
  • 6The total number of outstanding ordinary shares (excluding treasury shares) is 537,176,233.

Frequently Asked Questions

This Form 6-K filing is to report a transaction involving the repurchase of CRH's own ordinary shares. It provides details on the number of shares repurchased, the price range, and the resulting change in treasury shares and outstanding shares.

Companies typically repurchase their own shares for several reasons, including to return value to shareholders, to offset dilution from stock option exercises, to signal confidence in the company's valuation, or to manage their capital structure. In this instance, the shares are being held as treasury shares, suggesting a strategy of capital management.

Treasury shares are shares that a company has repurchased from the open market. They are considered issued but not outstanding, meaning they do not carry voting rights and do not receive dividends. Companies hold treasury shares for various strategic purposes, such as future acquisitions, employee stock plans, or to reduce the number of outstanding shares.

The repurchase reduces the number of outstanding shares available to the public. The filing indicates that after the buyback, CRH has 537,176,233 ordinary shares outstanding, excluding the 10,050,961 treasury shares. This decrease in outstanding shares can potentially increase earnings per share (EPS) if net income remains constant.