Mexico's Femsa up after $250 mln share buyback announcement

Shares of Mexico's Femsa FEMSAUBD.MX rise 2.55% in Mexico City after share buyback agreement

The company, which controls one of the largest Coca-Cola bottlers and a network of convenience store chains, announces a$250 million share repurchase agreement in the U.S.

"In our opinion, although the announcement is already in line with expectations, the news is favorable because it marks the beginning of share buybacks," Banorte analysts say in a note

Today's gains added 16.2 billion pesos ($836.28 million) to the company's market capitalization

Shares of the retailer and bottler outperform Mexico's main stock index .MXX, which rises 0.9%

ADRs in New York rise nearly 3%

The buyback will be carried out through an accelerated share repurchase, according to the company

($1 = 19.3715 Mexican pesos)