Symantec commences $1 billion accelerated buyback transaction
Staff writer ▼ | March 22, 2016
Symantec Corp. announced the next phase of its $5.5 billion capital return program by launching a $1 billion accelerated share repurchase (ASR) transaction.Article continues below
This transaction is the first of what will be a series of buyback transactions totaling $2.3 billion that the Symantec Board is committed to executing between March 2016 and March 2017.
As previously announced in February 2016, and consistent with its commitment to returning significant capital to shareholders, the Symantec board declared a special dividend of $4.00 per share, equaling approximately $2.7 billion, which is payable March 22, 2016, out of the earnings and profits of the company, to shareholders of record as of the close of business on March 8, 2016.
Following payment of the $4.00 special dividend and completion of the $1.0 billion ASR transaction, the total amount of capital returned to shareholders under the $5.5 billion capital return program will equal $4.2 billion.
This includes the $500 million ASR transaction that was completed in January 2016. Symantec will return the remaining $1.3 billion under the capital program through a series of share buyback transactions by the end of March 2017.
Thiss announced ASR transaction and previously announced special dividend will be funded through a combination of cash on hand and proceeds from the $500 million Silver Lake investment which closed on March 4th, 2016. ■ What to read next
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