8-K

CRH PUBLIC LTD CO 8-K Report (Jun 10, 2021)

Filed June 10, 2021For Securities:CRH

Summary

CRH Public Limited Company (CRH) filed a Form 6-K report on June 10, 2021, to disclose a transaction involving its own shares. The company re-issued treasury shares to participants of its employee share schemes on June 9, 2021. This action involved transferring 227,986 Ordinary Shares at specified prices, impacting the total number of shares outstanding and the number of shares held in treasury. This transaction is noteworthy for investors as it relates to share dilution, employee compensation, and the company's capital structure. The re-issuance of treasury shares typically does not create new shares but rather utilizes existing shares held by the company for employee incentives. Investors should note the prices at which these shares were transferred, as they can provide insight into the perceived value of CRH's stock by its own management and employees.

Key Highlights

  • 1CRH plc re-issued 227,986 Ordinary Shares from treasury on June 9, 2021.
  • 2The re-issuance was made to participants of CRH's employee share schemes.
  • 3Share transfer prices ranged from €16.19 per share to between £16.16 and £20.83 per share.
  • 4Following this transaction, CRH holds 11,775,186 Ordinary Shares in Treasury.
  • 5The number of Ordinary Shares in issue, excluding Treasury Shares, is now 783,365,152.

Frequently Asked Questions

Re-issuing treasury shares is a common practice for companies to fulfill obligations related to employee stock options, awards, or share purchase plans. It generally does not dilute existing shareholders as no new shares are created; instead, the company uses shares it previously repurchased and held. This particular transaction was to provide shares to employees under their respective schemes.

This transaction reduces the number of shares held in treasury and increases the number of shares outstanding and in circulation. The total number of Ordinary Shares in issue (excluding Treasury Shares) increased from the prior unreported number to 783,365,152.

The range of prices in both Euros (€) and Pounds Sterling (£) reflects that CRH operates internationally and likely has different share schemes or different pricing mechanisms for participants in various regions or based on specific plan rules. The conversion rates between currencies at the time of the transaction would also play a role.

As of June 9, 2021, after the transaction, CRH plc had 783,365,152 Ordinary Shares in issue (excluding Treasury Shares). The company also held 11,775,186 Ordinary Shares in Treasury.