EssilorLuxottica, the maker of Ray-Ban sunglasses, Tuesday declared a plan to buy back as much as 3 million shares, adding it was optimistic about its long-term scope.
The agency’s Italian Luxottica subsidiary, which also manufactures eyewear for Oakley and which merged with French lens manufacturer Essilor in back 2017, is facing production halts like many industrial corporations after Italy entered virtual lockdown to combat the coronavirus pandemic.
It said Sunday it was suspending production and logistics operations in Italy for as much as three days while it introduces new working safety measures.
The corporate stated Tuesday it was introducing the share buyback “reflecting the group’s confidence in its value creation and long-term business plans.”
At Monday’s closing price of 95.90 euros per share, the purchase program would be valued at around 288 million euros.
The shares would be given to employees and company directors as part of profit-sharing programs and bonus schemes, EssilorLuxottica added. The stock buyback plan will run from March 17 to May 27.
EssilorLuxottica stated earlier in March, before the lockdown in Italy, that its production in China was getting again to regular after the coronavirus outbreak there.
France is also set to impose more constraints on Tuesday on people’s actions and business actions to try to curb the spread of the COVID-19.