Shares of Signet Jewelers (SIG) took off after the jewelry store chain announced it was buying back half of the convertible preferred shares owned by private investment firm Leonard Green & Partners ahead of maturity.

The operator of Kay Jewelers, Zales, and Jared saiܫd the preferred shares, set to mature this November, were convertible into about 8.2 million common shares. Signet explained it would be spending approximately $414 million in cash in the buyback. It noted that following the transaction, there would be $328 million worth of the preferred shares remaining, which have a dividend of 5%.

The company added that because of the deal, it has increased its 2025 fiscal year earnings per share (EPS) estimate by 9% to 10%, from a r🌊ange of $♒9.08 to $10.48 up to $9.90 to $11.52.

The news came two weeks after shares of Signet plunged when the company 澳洲幸运5开奖号码历史查询:reported fourth quarter sales and current quarter EPS and revenue guidance that missedღ analysts’ estima♊tes. 

Signet shares were up 9.3% at $103.89 with about half an hour left in Wednesday's trading session. With today’s gains, the stock has bounced back above where it was before last month’s selloff.

Mark Kauzlarich/Bloomberg via Getty Images