Softline board approved share buyback of IT company

The shares will be acquired by Softline Projects LLC, which will carry out the buyback within the next 12 months. The authorized capital of Softline is 600 thousand rubles, it is divided into 400 million and 2 thousand ordinary shares with a par value of 0.0015 rubles. The securities will be used to finance the company’s merger and acquisition transactions and offer option programs for employee motivation, Softline clarified.

“All board members agree with company management that SOFL’s current share price does not reflect the fundamental characteristics of the business and its growth rate; For example, in the first half of 2024, the group’s adjusted EBITDA more than tripled compared to the first half. 2023, up to 3.4 billion rubles,” said Softline CEO Vladimir Lavrov.

At the same time, he believes that “the ambitious goals and objectives that the company sets will provide it with significant growth in all financial indicators in the near future.” Lavrov noted that by “main growth factors” he means “a successful M&A strategy, active international expansion and the development of a portfolio of proprietary solutions.”

• According to its own data, Softline is one of the leaders in the Russian IT market, the company currently has more than 9.1 thousand employees; It offers companies services in cybersecurity, software import substitution, analytics and others.
• According to Rusprofile, in 2023, the revenue of Softline PJSC (legal entity of Softline) amounted to 34 billion rubles, and the net profit – to 99 million rubles.