Hong Leong Asia’s China Yuchai greenlights US$40m share buyback plan

The plan will be funded through operating cash flow and existing cash balance.

Hong Leong Asia’s NYSE-listed subsidiary, China Yuchai, has approved a share buyback plan that could be worth up to US$40m.

The plan, approved by the firm’s board of directors on 7 June, allows China Yuchai to repurchase its ordinary shares of as much as US$40m or up to four million shares, whichever occurs earlier.

The firm plans to use operating cash flow and existing cash balance to fund the buyback program.

China Yuchai manufactures, assembles and sells light- to heavy-duty engines for trucks, buses, passenger vehicles, construction equipment, as well as marine and agriculture applications in China.

Its parent firm, Singapore-based Hong Leong Asia, saw its attributable net profit climb 19%YoY to $64.9m in FY23.