Drax Group completes £300m buyback and launches £75m extension tranche

DRX

Drax Group plc (LON:DRX) has announced that following the purchase of ordinary shares on Wednesday 8 October 2025, the final tranche of the Company’s £300 million share buyback programme, managed by J.P. Morgan Securities plc (JP Morgan), was completed in accordance with its terms. This programme was announced on 26 July 2024 and in aggregate, between 7 August 2024 and 8 October 2025, the Company repurchased 47,184,439 ordinary shares.

On 31 July 2025 the Company announced a £450 million extension to the share buyback programme. The Company today announces that it is commencing the first tranche of this extension to purchase ordinary shares of 11 16/29 pence each in the Company up to a maximum consideration of £75 million. The purpose is to reduce the Company’s share capital. The ordinary shares purchased by the Company will be held in treasury pending cancellation or re-issue.

Ordinary share purchases as part of the first tranche of the extension will take place in open market transactions and may be made from time to time depending on market conditions, share price and trading volumes. The maximum number of shares that may be repurchased by the Company under the first tranche of the extension is 22,387,631, being the number of shares the Company is authorised to purchase pursuant to the authority granted by shareholders at the AGM on 1 May 2025, less the shares acquired under the buyback programme since 1 May 2025. Drax expects that authority to continue the buyback to be renewed at the AGM to be held in 2026.

The Company has entered into a non-discretionary agreement with JP Morgan pursuant to which it has instructed JP Morgan to conduct the first tranche of the extension. JP Morgan will carry out the first tranche of the extension through the acquisition of ordinary shares in the Company, within certain pre-defined parameters, for subsequent repurchase by the Company. Any purchase of ordinary shares in the Company will be conducted within the parameters prescribed by the Market Abuse Regulation 596/2014 and the Commission Delegated Regulation (EU) 2016/1052 (also as in force in the UK, from time to time, including, where relevant, pursuant to the UK’s European Union (Withdrawal) Act 2018 and the Market Abuse (Amendment) (EU Exit) Regulations 2019) as well as applicable laws and the regulations of the UK Financial Conduct Authority (including Chapter 9 of the UK Listing Rules).

The Company will make further announcements in due course following the buyback of shares. Note there is no guarantee that the programme will be implemented in full. 

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