SINGAPORE--Olam International Ltd. (O32.SG) plans to buy up to 10% of its shares from the market under a buyback program over an unspecified period of time, according to a statement from the Singapore commodities supplier.

Olam will buy up to 244.2 million of its shares by paying a maximum of 105% of the average closing price of the previous five days, it said in a statement to the Singapore Exchange late Friday.

The shares purchased under the program may be held as Treasury shares or canceled, it said.

"This share-buyback program reflects the confidence that Olam's board has in the long-term fundamentals and growth prospects of the group," said Sunny Verghese, Olam's chief executive.

The program will be funded by the company's internal resources.

Write to Gaurav Raghuvanshi at gaurav.raghuvanshi@dowjones.com