Dubai – Mubasher: ENBD REIT, the Shari’a compliant real estate investment trust managed by Emirates NBD Asset Management Limited, on Tuesday announced it will repurchase up to 4.4 million shares from the market as part of its share buyback programme.

The new programme will be effective starting from 21 February, according to ENBD REIT’s statement.

The programme is part of the fund’s strategy to add value to shareholders holding equity at the current discounted share price level.

The step aims to positively impact the liquidity of ENBD REIT’s stock, in addition to offering a level of protection to shareholders from disproportionate price movements, the statement said.

“The purpose of the buy-back programme is to realise value for all shareholders by repurchasing shares currently trading at a significant discount to current market valuations of the underlying assets,” Anthony Taylor, head of real estate at Emirates NBD Asset Management, commented.

The fund has allocated around $3.5 million for the programme, which facilitates the acquisition of up to 4,401,340 shares at a price no higher than 10% of the previous day’s volume weighted average trading price (VWAP), the statement added.

“Shares acquired during this programme will be cancelled at the end of each month. Integrated Securities LLC has been appointed as an independent broker to execute the programme on behalf of the REIT, via the Order Book of Nasdaq Dubai,” it highlighted.