£10m share buyback move sends Frontier Developments stock close to 52-week high

The move gained extra credence as founder and president Dave Braben, who controls 32.7 per cent of voting rights in the AIM-quoted business including through shares owned by his wife, confirmed he would sell ordinary shares to maintain his proportional ownership.

Frontier has launched the buyback to reduce the company’s share capital with voting rights. Any ordinary shares bought by the company will be placed into Treasury. The buyback starts now and is due to end on 27 June 2026.

The buyback will return surplus capital to shareholders, improve return on equity and increase earnings per share, while maintaining the financial headroom to invest in the group’s strategy to confidently deliver sustainable growth.

Frontier has instructed Peel Heel LLP and Panmure Liberum to execute the buyback. The duo will each buy the company’s ordinary shares of 0.5p each for up to a combined maximum consideration of £10m.

Braben confirmed that his and related parties’ percentage holding would remain broadly unchanged and he has given an irrevocable instruction to Peel Hunt and Panmure Liberum to that effect.

Frontier says it will make further announcements in due course following the completion of any repurchases. It added the necessary caveat that there is no guarantee that the buyback will be implemented in full or that any ordinary shares will be repurchased by the company whose share capital right now comprises 39,478,535 ordinary shares with voting rights.

Frontier was recently named Major Studio of the Year at the 2025 MCV/Develop Awards in London.