PETALING JAYA: OSK Holdings Bhd is seeking shareholder approval to buy back up to 10% of its shares, as it looks to strengthen shareholder value and support its share price.
In a filing with Bursa Malaysia, the group said the proposal will be tabled at its annual general meeting (AGM) on April 23. If approved, the company will be allowed to purchase its shares from the open market.
The mandate will remain in place until the next AGM, unless renewed by shareholders.
OSK said that any buyback will depend on market conditions, available funds and overall market sentiment.
The group noted that such a programme can help stabilise trading and support the stock’s underlying value, especially during periods of volatility.
“By reducing the number of shares in circulation – if the shares are cancelled – the exercise could also improve earnings per share and make the stock more attractive to investors,” it said.
The mandate will also give OSK greater flexibility in managing its capital. Shares bought back may be cancelled, kept as treasury shares, resold in the market, or distributed as dividends.
OSK said it is in a strong financial position to undertake the exercise, with retained profits of about RM2.05 billion as at end-2025. The buyback is expected to be funded primarily from internal funds, with minimal borrowing if needed.
The board said any purchases will be made only after meeting solvency requirements and without materially affecting the group’s cash flow.
As at the latest practicable date, OSK held about 49.8 million treasury shares. The proposed mandate would allow it to repurchase up to 314.3 million shares, equivalent to 10% of its issued share capital.
The group’s public shareholding spread, currently above 40%, is expected to remain well above the regulatory minimum even if the mandate is fully utilised.
The board has recommended that shareholders vote in favour of the proposal, describing it as a prudent way to enhance long-term value while maintaining flexibility in capital management.
OSK said the group is not committing to immediate or large-scale purchases, but aims to retain the option to act when market conditions are favourable.
