Fidelity Emerging Markets Limited Repurchases 84,047 Shares for Cancellation at Average 1520p

Details of FEML's 24 June 2026 Share Repurchase Transaction

Fidelity Emerging Markets Limited confirmed on 24 June 2026 that its board had authorised and completed the repurchase of 84,047 ordinary shares for cancellation. The transaction was conducted in the open market, with the average price paid coming in at 1,520.23 pence per share. The lowest price paid during the session was 1,512.00p, whilst the highest price reached was 1,524.00p, implying a relatively tight intraday trading range consistent with orderly market conditions on the day.

The announcement was made by George Bayer, Company Secretary, for and on behalf of FIL Investments International, the investment management group that provides secretarial and administrative services to the trust. The disclosure was made in accordance with the company's obligations under UK market transparency rules, and the announcement states that the transaction has been completed in full with shares earmarked for cancellation rather than being held in treasury.

How FEML's Issued Share Capital and Voting Rights Have Changed

Following this repurchase, Fidelity Emerging Markets Limited's issued share capital stands at 48,613,507 shares in total. Of this figure, 9,025,940 shares are held in treasury and therefore carry no voting rights under applicable UK company law. As a result of this distinction, the total number of voting rights now stands at 39,587,568, which is the figure that shareholders must use as the denominator when calculating whether they have crossed a disclosure threshold under the FCA's Disclosure Guidance and Transparency Rules (DTRs).

The company's announcement explicitly draws attention to the denominator figure for DTR purposes, as is standard practice for UK-listed entities following share capital changes. Shareholders — whether institutional or retail — who hold, or who have recently acquired or disposed of, a material interest in FEML should check whether the revised voting rights total alters their proportional interest sufficiently to trigger a notification obligation. The company did not disclose the precise economic cost of the total buyback programme to date in this individual announcement.

Fidelity Emerging Markets Limited's Treasury Share Position After the Transaction

The 9,025,940 shares currently held in treasury by FEML represent a meaningful portion of the overall issued share capital of 48,613,507. Treasury shares, whilst counted within the total issued share capital for certain legal purposes, are explicitly excluded from voting rights calculations, as confirmed in the company's disclosure. This distinction is significant for shareholders tracking their percentage interest in the trust, as it means the effective float — in terms of voting power — is materially lower than the headline issued share capital figure might suggest.

It is worth noting that shares repurchased in the most recent transaction have been directed for cancellation rather than placed into treasury. This means they will ultimately be extinguished, reducing the total issued share capital over time rather than being potentially re-issued at a later date. The ongoing accumulation of treasury shares alongside fresh cancellations suggests the board continues to operate a flexible approach to capital management, balancing immediate cancellation of certain tranches with the retention of others for potential future use.

The Role of Buybacks in Managing the FEML Discount to NAV

Investment trusts such as Fidelity Emerging Markets Limited typically trade at either a premium or a discount to their underlying net asset value (NAV) per share. When shares trade at a discount — meaning the Market Price is below the estimated value of the Assets held — boards frequently deploy buyback programmes as a tool to support the share price, reduce the discount, and improve NAV per share for continuing shareholders by retiring stock below asset value.

The announcement does not specify whether this buyback was executed at a discount to NAV, nor does it reference the prevailing NAV at the time of the transaction. The company did not disclose this figure in the announcement. Investors and analysts tracking FEML's discount trajectory will need to refer to separate NAV announcements published by the trust or data provided by Fidelity's investment management team to assess the accretive impact, if any, of buybacks at the prevailing price levels. The immediate share price impact was not clear from available public information.

FEML's Emerging Markets Investment Mandate and the Broader Context

Fidelity Emerging Markets Limited is an investment trust listed on the London Stock Exchange with a mandate focused on equities and Equity-related securities in emerging market economies. Managed by FIL Investment Management, the trust seeks long-term capital growth by investing across a diversified range of developing markets, including countries in Asia, Latin America, Eastern Europe, the Middle East, and Africa. The trust's performance is therefore closely linked to macro conditions, currency movements, and political dynamics across those geographies.

Against a backdrop of ongoing uncertainty in global emerging markets — including questions around US dollar strength, Chinese economic momentum, and Commodity-driven economies — maintaining investor confidence through disciplined capital allocation can be an important signal from the board. Share buybacks at these price levels may be interpreted by some Market Participants as a statement of conviction about the value embedded in the portfolio, though investors should form their own views based on a full review of available financial disclosures and the latest investment manager commentary.

FIL Investments International's Role as Company Secretary and Administrator

The announcement was made by George Bayer acting in the capacity of Company Secretary, for and on behalf of FIL Investments International. FIL Investments International, part of the global Fidelity group, provides company secretarial and administrative services to FEML, including the timely release of regulatory announcements to the market. Contact details provided in the announcement list a London telephone number — 020 7961 4240 — for enquiries relating to the disclosure.

The involvement of FIL Investments International in both the management and administration of the trust is typical of investment trust structures in the UK, where the investment manager and related group entities often provide a range of operational services under agreed contractual arrangements. This integrated structure can provide operational efficiencies but also means investors should be mindful of related-party relationships when reviewing corporate governance disclosures in the trust's Annual Report and accounts.

Regulatory Framework Governing FEML's Share Repurchase Activity

The buyback has been conducted in accordance with the regulatory framework applicable to UK-listed investment trusts, including the requirements of the FCA's Disclosure Guidance and Transparency Rules. The announcement specifically references the DTR denominator obligation, which requires companies to notify the market of the total number of voting rights in issue following any transaction that affects the share capital. This enables shareholders to accurately assess whether their holdings have crossed a reportable threshold.

Under UK company law, shares repurchased for cancellation must be formally cancelled, reducing the company's issued share capital accordingly. Shares held in treasury, by contrast, remain part of the issued share capital but are stripped of their economic and voting rights until such time as the board elects to re-issue them — for example, to satisfy employee share schemes or for other permitted corporate purposes. FEML's combination of treasury holdings and cancellations indicates an active approach to share capital management consistent with its investment trust peer group.

What the Revised Voting Rights Figure Means for FEML Shareholders

The updated total voting rights figure of 39,587,568 is the key number that existing and prospective shareholders in Fidelity Emerging Markets Limited must now use when calculating their percentage interest in the trust. Under the FCA's DTR framework, investors must notify the company and the FCA if their holding crosses or falls through certain percentage thresholds — commonly 3%, 5%, and further increments above that level. Any change in the denominator, such as that resulting from this buyback, can cause a Shareholder's percentage interest to shift even without any change in the absolute number of shares they hold.

Shareholders who are close to a disclosure threshold — whether approaching it from above or below — should therefore review their position in light of the revised denominator of 39,587,568 voting rights. Institutional investors in particular, who are subject to strict notification timelines under the DTRs, should ensure their compliance processes have captured this update. The company's announcement makes clear that this figure is provided for exactly this purpose, in line with standard practice for London-listed companies following share capital transactions.

Cumulative Buyback Activity and Long-Term Capital Reduction at FEML

This latest transaction adds to what the disclosure suggests is an ongoing programme of share repurchases. The current treasury share balance of 9,025,940 shares and the issuance of shares for cancellation in recent transactions collectively paint a picture of sustained capital return activity over an extended period. The announcement does not detail the cumulative number of shares repurchased during the current financial year or the total consideration paid across the programme to date. The company did not disclose this figure in the announcement.

Investors seeking a fuller picture of FEML's buyback history and the board's stated policy on discount management should refer to the trust's most recent annual report, interim results, and any separate regulatory filings that address the scope and limits of the existing buyback authority granted by shareholders at the most recent Annual General Meeting. Watching future buyback announcements will allow investors to track the pace of capital return and assess how actively the board is deploying this tool relative to the trust's discount trajectory and overall investment strategy.