London, Jan 19, 2026, 10:36 GMT — Regular session
- Drax shares held steady in early London trading, lingering close to their recent peaks
- Company revealed an additional tranche of share repurchases as part of its ongoing buyback programme
- Investors remain focused on cash returns and the policy framework shaping biomass support
Drax Group shares slipped 0.06% to 903.0 pence by 1021 GMT, following news of additional share repurchases in its ongoing buyback programme.
The company purchased 62,163 shares on Jan. 16, paying between 899.0 pence and 908.5 pence per share. The volume-weighted average price, which factors in trade size, came to 902.8286 pence. According to a filing, total buybacks since the programme launched on July 31, 2025, now stand at 5,210,411 shares.
Drax’s shares have pushed up close to their 52-week peak in recent days, making investors keen to see whether the company favors buybacks and dividends or opts to invest in new projects.
Drax is pushing beyond biomass. Last December, it revealed plans to transform part of its Yorkshire site into a data centre by 2027, aiming to capitalize on growing demand for AI-driven computing. The company is offering up spare land and grid connections. “We would effectively provide the land and the power connection,” CEO Will Gardiner said then. Reuters
The buyback update did little to shift the ongoing debate over Drax’s biomass supply chain disclosures. The Financial Conduct Authority in the UK launched an investigation last year into statements from January 2022 through March 2024, with Drax confirming its cooperation.
Policy risk is also in play. In 2025, the UK government committed to slashing Drax’s subsidies by half between 2027 and 2031, tightening the sustainability rules for biomass that qualifies for support. Ministers framed the move as a response to worries about the generosity of previous aid.
The tape remains quiet for now as traders eye whether the stock can stay above the 900-pence level following its recent climb. Buybacks are lending some support beneath the surface.
Drax’s full-year results for the year ended Dec. 31 are set for release on Feb. 26.
