LONDON (ShareCast) - (Sharecast News) - Elementis shot higher on Tuesday after saying it will return around $35m of net cash proceeds to shareholders following completion of the sale of its pharmaceutical manufacturing business.
The company revealed in March that it was selling the business to Primark owner Associated British Foods for €34m.

On Tuesday, it announced the return of around $35m to shareholders by way of a share buyback "in recognition of Elementis's robust balance sheet, strong first quarter performance and unchanged outlook for the year".

It said the buyback would begin as soon as practicable.

Chief executive Luc van Ravenstein said: "We are pleased to have completed the sale of the pharmaceutical manufacturing business. The transaction further strengthens the quality of our portfolio and sharpens our focus on our core markets. We are excited about the opportunities ahead and the positive momentum behind our Elevate Elementis strategy."

At 0905 BST, the shares were up 6.1% at 161p.

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