Altice USA: shares jump after new stock-buyback announced
(CercleFinance.com) - Cable operator Altice USA announced a 2.
5 billion dollar share buyback on Monday, which sent its stock up nearly 9% on the New York Stock Exchange.
The US arm of French billionaire Patrick Drahi's Altice said it has launched a "Dutch auction" tender offer to repurchase Class A common shares at a price of between 32.25 dollars and 36 dollars per share.
The deal represents a premium of approximately 0% to 12% to the share's closing price last Friday of almost 32.3 dollar a share.
If the offer is fully subscribed to, the number of shares to be purchased represents approximately 19.6% to 21.9% of Altice USA's issued and outstanding Class A common shares, the company said.
This means about 12.8% to 14.3% of Altice USA's total outstanding shares.
With this offer, Altice USA is increasing its buyback target for full year 2020 from over two billion dollars to approximately 5 billion dollars.
Altice USA said that it has also increased the capacity for share repurchases from 5 billion dollars to 7 billion shares, a move that also seems behind the share's jump today.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
5 billion dollar share buyback on Monday, which sent its stock up nearly 9% on the New York Stock Exchange.
The US arm of French billionaire Patrick Drahi's Altice said it has launched a "Dutch auction" tender offer to repurchase Class A common shares at a price of between 32.25 dollars and 36 dollars per share.
The deal represents a premium of approximately 0% to 12% to the share's closing price last Friday of almost 32.3 dollar a share.
If the offer is fully subscribed to, the number of shares to be purchased represents approximately 19.6% to 21.9% of Altice USA's issued and outstanding Class A common shares, the company said.
This means about 12.8% to 14.3% of Altice USA's total outstanding shares.
With this offer, Altice USA is increasing its buyback target for full year 2020 from over two billion dollars to approximately 5 billion dollars.
Altice USA said that it has also increased the capacity for share repurchases from 5 billion dollars to 7 billion shares, a move that also seems behind the share's jump today.
Copyright (c) 2020 CercleFinance.com. All rights reserved.