Louis Vuitton wallet Emilie

PARIS — LVMH Moët Hennessy Louis Vuitton is funneling some of its free cash flow into a share buyback program.

The French luxury giant said Wednesday it has committed to buy shares for 300 million euros, or $320.7 million at current exchange, between Nov. 17 and Dec. 30, with the price of shares not to exceed 300 euros. The price was fixed at LVMH’s annual general meeting last April, when LVMH also revealed that its free cash flow rose 30 percent in 2015 to total 3.68 billion euros.

Shares in LVMH fell 2 percent Wednesday to close at 162.50 euros, or $173.75, on the Paris bourse.

The company noted it granted a mandate to an investment services provider to acquire the shares.

Share buybacks are a way for a company to return some of its cashflow to shareholders, paramount to a non-cash dividend as shares are canceled after purchase, mechanically increasing the value of remaining shares on the free float.