Chubb CEO Greenberg 'confident' on $5bn share buyback strategy
Property/casualty insurer Chubb has authorised a new one-time incremental share repurchase programme of up to $5 billion as part of its capital management strategy. Its chief executive officer Evan Greenberg (pictured) is 'confident' that the action is an "excellent choice" to maintain capital flexibility.
The company's total repurchase programme allows for up to $2.5 billion in repurchases between January 1 and December 31 of 2021. Out of this, only $65 million is remaining, which would be used prior to the latest $5 billion share repurchase programme.
Chubb said the timing and volume of any share repurchases under these authorisations will be determined by management at its discretion and pursuant to the company's capital management strategy.
Share repurchases, which are subject to market conditions, other business considerations and applicable legal requirements, may be made in the open market, in privately negotiated transactions or block trades, it said.
Greenberg, chairman and CEO of Chubb, said: "Our core capital management philosophy is to maintain capital flexibility for risk and growth and return to shareholders capital in excess of that. We have been good stewards of capital and this action is consistent with our strategy and reflects our strong confidence in both our near- and longer-term earnings power and growth momentum. Given our confidence, additional investment in Chubb stock and returning capital to shareholders through repurchase is simply an excellent choice."
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