RYCEY Rolls Royce Holdings PLC (PK)

By Ian Walker

LONDON--Rolls-Royce Holdings PLC (RR.LN) said on Friday it has completed the first phase of its share buyback program and has now started the second 250 million pound ($385.9 million) tranche.

Last June the company announced plans to buyback up to GBP1 billion of its shares, following the sale of the energy gas turbine and compressor business to Siemens AG (SIE.XE), which completed on Dec. 1. It confirmed last December that it would buy back GBP500 million of its shares in two parts. It has now bought back GBP250 million of its shares.

At the time of the buyback announcement in June Chief Executive John Rishton said: "As no material acquisitions are planned, and reflecting the strength of our balance sheet, we will return the proceeds of the energy sale to our shareholders".

Rolls-Royce agreed the sale of its energy gas turbine and compressor business to Siemens in May for GBP785 million in cash.

Write to Ian Walker at ian.walker@wsj.com; @IanWalk40289749

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