Infragreen Group (ASX:IFN) is launching a share buyback program amid an ongoing strategic review of its operations that has yielded three key initial conclusions, including that its share price materially undervalues the business, according to a Thursday filing with the New Zealand bourse.

The review also found that Infragreen's investment strategy has resulted in solid revenue and earnings growth, but the company's "current financial disclosures make it difficult for shareholders and potential investors to assess the quality of its underlying investments."

In response to the undervaluation assessment, the company has engaged an independent firm to provide a valuation for the business, which will be furnished in the next six weeks. Starting from the half-year results for fiscal 2027, the company will also augment its financial reporting to boost visibility on the underlying performance of each of its investments.

Additionally, Infragreen has approved an on-market share buyback of up to AU$10 million, expected to start June 12.

The company previously said it was not considering a sale of its interest in waste management business Pure Environmental, but may now join the sale process subject to the strength of received offers, per the filing. It is also in talks for other potential divestments.

Infragreen shares gained 17% in recent Thursday trade.