Key Takeaways:
- Initiates a share buy-back program of up to DKK 1.3 billion ($200 million).
- Follows robust cash position of $2.3 billion and expected $700 million in milestones.
- Program to run from May 7, 2026, through October 31, 2026.
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Zealand Pharma to buy back DKK 1.3 billion in shares
Zealand Pharma A/S will buy back up to DKK 1.3 billion ($200 million) of its own shares, a move supported by a strong balance sheet and significant expected payments from partner Roche.
"Zealand Pharma’s strong balance sheet enables us to execute on our key strategic priorities... while preserving ample room for returning capital to shareholders,” said Henriette Wennicke, Executive Vice President, Chief Financial Officer.
The program, running from May 7 to October 31, 2026, will repurchase a maximum of 7,152,557 shares. The company reported a cash position of $2.3 billion as of March 31 and anticipates $700 million in milestone payments from Roche during 2026.
The buyback authorization from the March 2026 Annual General Meeting allows for repurchasing up to 10% of the company's share capital. The program will be managed by Danske Bank.
The financial strength is bolstered by an expected $575 million payment from Roche upon initiating Phase 3 trials for petrelintide in the second half of 2026, plus a $125 million anniversary payment in the second quarter.
Zealand Pharma stated the purpose of the program is to meet obligations from its share-based incentive programs and to potentially reduce the company's share capital through cancellation.
This shareholder return program signals management's confidence in its metabolic health pipeline and future cash flows, particularly from its Roche collaboration. Investors will watch for the initiation of the petrelintide Phase 3 trials later in 2026 as the next major catalyst.
This article is for informational purposes only and does not constitute investment advice.
[1] Zealand Pharma initiates USD 200 million / DKK 1.3 billion share buy-back program[2] Zealand Pharma convenes Extraordinary General Meeting on May 26, 2026[3] Zealand Pharma conference call on May 7 at 2pm CET (8am ET) to present first quarter 2026 financial results[4] Jazz posts record Q1, keeps 2026 outlook as Ziihera review advances
