Cognizant’s $300M Accelerated Repurchase

This morning, Cognizant Technology (CTSH) said it’s buying back $300 million worth of shares in an accelerated share repurchase plan. This is part of their plan to return $3.4 billion to shareholders.

Under the terms of the ASR agreement, approximately 3.04 million of the shares to be repurchased will be received by Cognizant on March 14, 2018. The final number of shares to be repurchased will be based on the volume-weighted average stock price of Cognizant’s Class A common stock less a discount and subject to potential adjustments pursuant to the terms of the ASR agreement. Final settlement of the transaction under the ASR agreement is anticipated to occur during the second quarter of 2018. Cognizant will fund the ASR program on March 14, 2018 from cash on hand and its existing credit facility.

Posted by on March 14th, 2018 at 10:08 am


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