Millicom Strengthens Shareholder Value with Strategic Buyback of SDRs,

Millicom Accelerates Share Repurchase Strategy with Significant Buyback of Swedish Depository Receipts

In a decisive move aimed at enhancing shareholder value, Millicom, a leading provider of cable and mobile services operating primarily under the Tigo brand, has actively pursued its share repurchase program, initially announced on November 29, 2024.
Between December 30, 2024, and January 03, 2025, the company successfully repurchased 164,260 of its Swedish Depository Receipts (SDRs), demonstrating a robust commitment to optimizing its capital structure and returning value to investors.

This recent buyback is part of a larger strategic initiative by Millicom to capitalize on favorable financial conditions and demonstrate confidence in its long-term growth trajectory.
By repurchasing its own shares, the company aims to reduce the total number of shares outstanding, thereby increasing the earnings per share (EPS) and ultimately providing a stronger return on equity for shareholders.

The initiative is aligned with the company's broader strategic objectives.
Millicom's focus on share repurchase underscores its belief in the inherent value of its stock, which it perceives as being undervalued by the market.
The repurchase program, therefore, serves a dual purpose: it not only acts as a mechanism to bolster shareholder returns but also signals to the market the company's confidence in its ongoing operational and financial performance.

Key to this confidence is Millicom's established position in the regions it serves.
Operating mainly in Latin America and Africa, the company's robust portfolio of services, which includes fixed broadband, pay-TV, and mobile services, provides a stable revenue base and opportunities for growth in the digital economy.
This foundation supports Millicom's ability to generate healthy cash flows, making the buyback program financially sustainable.

The recent repurchase activity also follows Millicom's update on share repurchase and major holdings notification from December 17, 2024.
The update emphasized the company's ongoing efforts to actively manage its capital allocation strategy.
Millicom has been clear about its intention to leverage its strong balance sheet to pursue strategic opportunities that enhance shareholder value, whether through acquisitions, organic growth, or capital returns.

Moreover, by engaging in the buyback, Millicom is effectively utilizing its financial strength to mitigate potential downsides from market volatility.
The repurchase of SDRs can act as a buffer against economic uncertainties, while simultaneously providing liquidity to the market and reducing share price volatility.

Investors and market analysts have viewed Millicom's actions favorably, acknowledging the buyback as a positive indication of the company's operational health and balanced financial management.
The move is perceived as a proactive approach to value creation, setting an encouraging tone for the company's future financial maneuvers.

In summary, Millicom's buyback of over 164,000 SDRs is a strategic decision that underscores its commitment to long-term value creation and market confidence.
As the company continues to execute its strategic goals, this capital return initiative reinforces Millicom's dedication to maintaining financial flexibility and providing rewarding returns to its shareholders.

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