Adobe to repurchase stock worth $2 billion by 2015
9 Oct 2013 10:48 PM GMT
Software giant Adobe, which makes software such as Photoshop and Acrobat, will repurchase stock worth $2 billion by fiscal 2015.
'We currently have authority granted by our Board of Directors to repurchase up to $2 billion in common stock through the end of fiscal 2015,' Adobe said in a filing with the US Securities and Exchange Commission (SEC).
The stock repurchase programme is similar to its previous $1.6 billion stock repurchase programme, which the firm exhausted during the second quarter of fiscal 2012, it added.
The US-based firm follows December-November fiscal year. The company said it has entered into structured stock repurchase agreements with large financial institutions for the purchase of equity.
'The $700 million pre-payments during the nine months ended 30 August, 2013, were under the new $2 billion stock repurchase authority, while the $305 million pre-payments during the nine months ended 31 August, 2012, were under the previous $1.6 billion authority,' it added.
On the reasons for entering the agreements, Adobe said, ‘We enter into these agreements in order to take advantage of repurchasing shares at a guaranteed discount to the Volume Weighted Average Price (VWAP) of our common stock over a specified period of time.’
'We currently have authority granted by our Board of Directors to repurchase up to $2 billion in common stock through the end of fiscal 2015,' Adobe said in a filing with the US Securities and Exchange Commission (SEC).
The stock repurchase programme is similar to its previous $1.6 billion stock repurchase programme, which the firm exhausted during the second quarter of fiscal 2012, it added.
The US-based firm follows December-November fiscal year. The company said it has entered into structured stock repurchase agreements with large financial institutions for the purchase of equity.
'The $700 million pre-payments during the nine months ended 30 August, 2013, were under the new $2 billion stock repurchase authority, while the $305 million pre-payments during the nine months ended 31 August, 2012, were under the previous $1.6 billion authority,' it added.
On the reasons for entering the agreements, Adobe said, ‘We enter into these agreements in order to take advantage of repurchasing shares at a guaranteed discount to the Volume Weighted Average Price (VWAP) of our common stock over a specified period of time.’
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