Midea Group Announces Up to 13 Billion Yuan Share Buyback

The Buyback

Midea Group (美的集团), one of China's largest home appliance manufacturers, has announced a massive share buyback program worth ¥6.5-13 billion ($900M-$1.8B), one of the largest buybacks in Chinese corporate history.

Details

• Range: ¥6.5 billion to ¥13 billion
• Price cap: ¥100 per share
• Funding: Company's own funds + special loan from Bank of China (up to 90% of buyback amount)
• Purpose: Employee stock ownership plans and/or equity incentives
• Timeline: Within 12 months of board approval

Context

Midea's buyback follows a wave of Chinese companies announcing large share repurchases:

• SF Express: Doubled buyback to ¥6 billion (announced same day)
• Industrial Fortune (Foxconn affiliate): Completed ¥500 million buyback
• Broad trend: Chinese companies returning capital to shareholders amid market uncertainty

Significance

The use of bank financing for the buyback (up to 90% from Bank of China) is notable — it reflects a Chinese policy push encouraging listed companies to boost shareholder returns through buybacks, with banks providing dedicated lending facilities.

Midea, with a market cap of approximately ¥600 billion, is signaling confidence in its intrinsic value and using buybacks as a defensive strategy against market volatility.

Source: 36Kr | 2026-03-30