Allo Bank (BBHI) to Execute Rp300 Billion Share Buyback Within 3 Months

PT Allo Bank Tbk (BBHI) will carry out a share buyback valued at Rp300 billion. This corporate action is scheduled to take place over a three-month period, specifically from 3 September 2026 to 2 December 2026.

The rationale behind this action is to provide flexibility that allows for the stabilisation of share prices, ensuring they better reflect the company’s performance. Additionally, the step is being taken as an effort to maintain harmony between market conditions and company fundamentals.

According to information disclosure on the Indonesia Stock Exchange (IDX), this move is also intended to maintain stakeholder confidence in the company’s efforts to support sustainable growth. The share buyback is expected to stabilise prices against fluctuations, maintain share prices at a healthy level, and ultimately enhance shareholder value.

If the company utilises the entire amount of the buyback funds, both total assets and equity are potentially to decrease by Rp300 billion. This would cause the Capital Adequacy Ratio (CAR) to shrink by approximately 2.77 per cent; using assumptions as of 30 June 2026, the proforma CAR would decrease from 66.35 per cent to approximately 63.58 per cent.

The share buyback will not have a material negative impact on business activities, liquidity, or business growth. The company is currently reported to have sufficient working capital and cash reserves to fund all business activities, business development, operations, and the share buyback programme.