Thomson ReutersMarch 7, 2013 03:30
* To buy back up to 175 mln stg of shares
* To divest majority of merchandising division
* Plans bolt-on acquisitions
* Shares rise as much as 8 pct (Adds CEO and analysts' comments, updates share movement)
By Karen Rebelo
March 7 (Reuters) - British engineer IMI Plc said it would buy back up to 175 million pounds ($263 million) of its shares and sell most of its merchandising business, sending its shares up as much as 8 percent.