Eastern Bank’s parent company plans to use more of its capital to buy back up to $200 million worth of stock starting later this month.

Eastern Bankshares Inc. said in a statement today that it has received regulatory non-objection for a new share repurchase program. The bank said it could buy back up to 8.9 million shares, about 5 percent of its outstanding shares of common stock. The repurchase program could last through Aug. 31, 2023, and is limited to $200 million.

The next round of repurchases is expected to begin later this month, according to the statement, after Eastern completes its first buyback program. Following Eastern’s initial public offering in October 2020, the bank had launched its first share repurchase program late last year.

Through Sept. 6, Eastern has repurchased approximately 9.1 million shares totaling $182 million, according to the statement. This program had authorized the bank to purchase about 9.3 million shares for up to $225 million.

The bank had also used capital from its IPO to acquire Century Bank in November 2021 in an all-cash deal valued at $642 million.

Eastern Bank to Repurchase More Shares

by Banker & Tradesman time to read: 1 min