Business Irish

Thursday 19 April 2018

Ryanair pays €69.1m to buy back 10m US-listed shares

Ryanair is making efforts to become more customer-friendly
Ryanair is making efforts to become more customer-friendly
John Mulligan

John Mulligan

Ryanair has paid $94m (€69.1m) to buy back 10m of its US-listed shares.

The airline said that all the 10m ordinary shares it bought as part of the transaction were ordinary shares that were underlying American Depositary Shares (ADSs). It paid $47.10 per ADS.

An airline spokesman confirmed that there are the equivalent of five ordinary shares per ADS, resulting in a total transaction value of just over $94m for the deal.

The shares will be cancelled.

Last month, Ryanair spent over €57m buying back 10m of its own shares.

The repurchases comes as Ryanair's shareprice has fallen 20pc in Dublin since the summer. The carrier has issued two profit warnings in the past three months.

The airline has embarked on a new customer service strategy in a bid to attract more passengers.

It's reducing penalty fees, allowing passengers to take on a small extra cabin bag for free, and has revamped its website in order to make it easier to book fares.

Ryanair will also introduce new fare packages for families and business travellers.

The business product will include a flex-fare option and also features such as a fast-track through security. Business passengers will also be able to change flights and timings if their own schedule alters.

It will also introduce a product specifically for families travelling with children under the age of 16. The price will include discounted children fares and checked-in bags.

Irish Independent

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