Summary
CRH Public Limited Company (CRH) has filed a Form 6-K to report a transaction involving its own shares. On December 14, 2022, the company transferred 1,116 ordinary shares from its treasury to a participant in an employee share scheme. This transaction was executed at a price of €16.19 per share. This filing updates the market on CRH's treasury stock and issued share capital. Following this transfer, the company now holds 28,569,009 ordinary shares in treasury. The total number of ordinary shares in issue, excluding those held in treasury, stands at 745,571,329. This information is relevant for investors tracking the company's share structure and potential dilution.
Key Highlights
- 1CRH plc reported a transaction involving its own shares on December 14, 2022.
- 2The company transferred 1,116 ordinary shares from treasury to an employee share scheme participant.
- 3The transfer price for these shares was €16.19 per ordinary share.
- 4Following this transaction, CRH plc now holds 28,569,009 ordinary shares in treasury.
- 5The total number of outstanding ordinary shares (excluding treasury shares) is 745,571,329.
- 6This filing is made under Form 6-K, a report for foreign private issuers.
Frequently Asked Questions
The primary purpose of this transaction was to transfer shares to a participant in an employee share scheme. This is a common practice for companies to fulfill obligations under their equity-based compensation plans.
This specific transaction involves the re-issuance of shares from treasury. While the number of shares held in treasury decreases, the number of outstanding shares (excluding treasury shares) remains the same for the purpose of this re-issuance. The total issued share capital is not directly increased by this action; rather, shares previously held by the company are now being re-allocated.
Treasury shares are shares that a company has repurchased from the open market but has not yet retired. They can be reissued for various purposes, such as stock options, employee benefit plans, acquisitions, or stock dividends, without affecting the company's overall capital structure in the same way as issuing new shares.
Reissuing shares from treasury, especially for employee share schemes, can lead to a minor dilution of existing shareholders' stakes over time. However, the impact is generally less significant than issuing entirely new shares, as these shares were already part of the company's capital structure.