Morocco's BMCE bank to buy back up to 15 mln shares

RABAT, Oct 22 (Reuters) - Moroccan bank BMCE (BMCE.CS) said on Wednesday it is planning to buy back up to 15 million of its own shares in a bid to shore up its faltering stock price.

The bank will propose the buy-back scheme to its general assembly meeting on Nov. 20 for approval, it added in a statement.

It has set a minimum share price of 265 dirhams ($30.78) and a maximum price of 400 dirhams, with the buying programme due to run from Dec. 1, 2008, to May 31, 2010.

The 15 million shares, or 9.45 percent stake, would cost up to 6 billion dirhams, the bank added.

BMCE stock ended Tuesday at 281 dirhams and was not quoted in early trade on Wednesday. It has traded in a 263.20 dirham to 330 dirham range so far this year.

On Sept. 30, BMCE reported a 24 percent increase in first-half net earnings, as deposit and loan growth boosted domestic market share and foreign expansion brought new sources of profit.

Net income was 469 million dirhams and revenues leaped 59 percent to 3.1 billion dirhams, the bank has said .

BMCE consolidated results from Bank of Africa for the first time after it acquired a 32.5 percent stake in the Mali-based lender, a holding it increased to 42.5 percent in July.

In Morocco, BMCE expanded its branch network as falling interest rates allowed more Moroccans to buy homes, cars and consumer goods on credit.

Moroccan economic growth accelerated to 6.5 percent in the second quarter from 2.6 percent a year earlier.

BMCE's client deposits grew 15 percent to 84 billion dirhams in the first half of the year, while client credits rose 19 percent to 45.1 billion. (Reporting by Lamine Ghanmi; editing by Simon Jessop)