Kyowa Hakko Kirin announces new share repurchasing deal

Kyowa Hakko Kirin has announced a new plan to repurchase its own shares as it seeks to strengthen its financial position.

The company has approved the business strategy at a board of directors meeting held this week, with the new arrangement having been created in accordance with specific articles in Japan's Companies Act.

Under the terms of this policy, the pharmaceutical firm will be repurchasing up to 25 million shares in common stock, which represents 4.39 percent of all shares issued.

A total of up to 20 billion yen (158.5 million pounds) has been set aside to buy these shares, with the repurchasing period extending from August 26th 2011 until February 29th 2012.

The company said this will help to "improve our capital efficiency by executing flexible capital policies in response to changes in the operating environment".

Earlier this year, Kyowa Hakko Kirin expanded the scope of its international business with the purchase of fellow healthcare company ProStrakan, which is based in Scotland.