Shares of Gateshead-based Vertu Motors plc rose about 3% on Friday after it announced it plans to start a new £3 million stock buyback programme once the current one finishes.

The company also said it will continue to consider acquisition and investment opportunities.

Vertu said: “Following the success of the £3m buyback programme announced in August 2021, which has so far resulted in the purchase and cancellation of 4,739,240 ordinary shares … at a total cost of £2,756,218, the company announces that, following the remaining balance of £243,782 being utilised, it intends to commence a further share buyback programme.

“Under the buyback programme, the company will seek to buy back its ordinary shares using the company’s existing cash resources for a further amount up to £3.0 million, between the end of the August programme and 28 February 2022. 

“The debt capacity of the company and positive cash flow is such that we will continue to consider acquisition and investment opportunities as part of the pursuit of the ongoing growth of the business.

“The company will seek to buy back its ordinary shares at appropriate times and considers, at the present time, the buyback programme to be in the best interests of all shareholders.”