Rambus Initiates Accelerated Share Repurchase Program
March 06 2018 - 9:00AM
Business Wire
Rambus Inc. (NASDAQ: RMBS) today announced it has initiated an
accelerated share repurchase program with Citibank, N.A. to
repurchase an aggregate of approximately $50 million of its common
stock, with an initial delivery of approximately 3.1 million
shares.
"Repurchasing Rambus shares reinforces our confidence in
existing product programs and highlights our ability to continue to
invest in critical technology areas while delivering shareholder
value," said Dr. Ron Black, president and chief executive officer
at Rambus.
Under the accelerated share repurchase program, Rambus will
pre-pay to Citibank the $50 million purchase price for its common
stock and, in turn, Rambus will receive an initial delivery of
approximately 3.1 million shares of its common stock from Citibank
within the first week of the program. The number of shares to be
purchased ultimately by Rambus will be determined based on the
volume weighted average price of the common stock during the terms
of the transaction, minus an agreed upon discount between the
parties. The program is expected to be completed within six months.
The shares of common stock will be delivered by Citibank to Rambus
on the third business day following the calculation period
described above.
The accelerated share repurchase program is part of the broader
share repurchase program previously authorized by the Rambus Board
of Directors. As of March 5, 2018, before giving effect to the
transaction under the accelerated share repurchase program, there
remained an outstanding authorization under the broader share
repurchase program to repurchase approximately 7.4 million shares
of the company's outstanding common stock.
About Rambus Inc.
Dedicated to making data faster and safer, Rambus creates
innovative hardware, software and services that drive technology
advancements from the data center to the mobile edge. Our
architecture licenses, IP cores, chips, software, and services span
memory and interfaces, security, and emerging technologies to
positively impact the modern world. We collaborate with the
industry, partnering with leading chip and system designers,
foundries, and service providers. Integrated into tens of billions
of devices and systems, our products and technologies power and
secure diverse applications, including Big Data, Internet of Things
(IoT) security, mobile payments, and smart ticketing. For more
information, visit rambus.com.
Forward-Looking Statements
This release contains forward-looking statements under the
Private Securities Litigation Reform Act of 1995 relating, among
other things, to the purchase price of shares acquired pursuant to
the accelerated share repurchase program, the timing and the
duration of prospective share purchases, the amount of cash that
may be expended in connection with such share repurchases and the
potential growth from our strategic programs. Such forward-looking
statements are based on current expectations, estimates and
projections, management's beliefs and certain assumptions made by
the Company's management. Actual results may differ materially.
Rambus undertakes no obligation to update forward-looking
statements to reflect events or circumstances after the date
hereof.
Source: Rambus Inc.
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version on businesswire.com: http://www.businesswire.com/news/home/20180306005755/en/
Rambus Investor RelationsNicole Noutsios,
510-315-1003Nicole@nmnadvisors.com
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