SHAREHOLDERS ENDORSE BUYBACK, NEW BOARD APPOINTED
Eni shareholders have backed a substantial share buyback program, potentially reaching €4 billion, and confirmed a new board of directors. The move signals a significant push for shareholder returns alongside the energy giant's ongoing strategy of balancing oil and gas production growth with investments in lower-carbon initiatives.
The company's board has proposed a new share repurchase plan, initially set at €1.5 billion for 2026, with the capacity to expand to a maximum of €4 billion should cash flow from operations exceed projections outlined in the 2026-2030 Strategic Plan. This plan, slated to run until April 2027, aims to repurchase up to 303 million shares, approximately 10% of the company's capital. A portion of these repurchased shares, up to 297.9 million, is earmarked for shareholder remuneration, while a smaller tranche of around 5.1 million shares will be used to support the 2026-2028 long-term incentive plan.
Read More: JPMorgan Chase Faces Lawsuit Over Sexual Assault Claims
BOARD CHANGES AND STRATEGIC DUALITY
The shareholder meeting also saw the appointment of Giuseppina Di Foggia as the new chair of the board. Long-serving CEO Claudio Descalzi retains a board seat, underscoring a degree of continuity as Eni navigates its strategic expansion. This expansion is characterized by a dual focus: increasing upstream presence, particularly in Africa and the Eastern Mediterranean, while simultaneously advancing projects in biofuels, carbon capture, and renewable power. This approach mirrors that of other major energy firms like Shell plc and TotalEnergies SE, which have also maintained aggressive shareholder return strategies amidst fluctuating refining margins and crude prices.
SHAREHOLDER RETURN MECHANISMS
The proposed buyback program is intended to allow Eni to repurchase shares within specified trading parameters, generally within 10% of the previous session's price on Euronext Milan. Purchases can be conducted on regulated markets or through other authorized practices. Beyond direct cash returns, shareholders will also be asked to authorize the use of repurchased shares for incentive schemes, granting the board flexibility in deploying this capital.
Read More: AUSTRAC starts money laundering probe into Tabcorp on July 5 2026
BACKGROUND: STRATEGIC PLAN AND MARKET CONTEXT
The shareholder meeting on May 6, 2026, was the venue for these key decisions. The buyback program aligns directly with Eni's recently presented 'Strategic Plan 2026-2030'. The company, a significant player in Europe's integrated energy sector, is active across the entire energy value chain, from exploration and production to refining, chemicals, and burgeoning energy transition initiatives. The remote-only format of the meeting was structured to preserve participant rights, including proxy voting and question submission.
