The Board of Directors of Union Tool Co. (TSE:6278) authorized a share repurchase program on January 15, 2013. Under the plan, the company will repurchase up to 500,000 common shares, representing 2.4% of the total outstanding shares (excluding treasury shares), for ¥1 billion.

The purpose of the share buyback plan is to improve capital efficiency and implement a flexible capital policy. The repurchases will commence on January 16, 2013 and will end on May 24, 2013. As of December 31, 2012, the company has 20,860,180 shares (excluding treasury shares) in issue and 2,238,310 shares in treasury.