STMicroelectronics Announces Launch of Share Buy-back Program
July 01 2021 - 2:00AM
STMicroelectronics Announces Launch
of Share Buy-back Program
AMSTERDAM – July 1, 2021 -- STMicroelectronics
N.V. (the “Company” or “STMicroelectronics”), a global
semiconductor leader serving customers across the spectrum of
electronics applications, announced the launch of a share buy-back
program of up to $1,040 million to be executed within a 3-year
period (subject to shareholder and other approvals from time to
time) following the publication of this press release. The share
buy-back program will be carried out in accordance with the
authorisation of the Supervisory Board and the provisions of the
Market Abuse Regulation (EU) 596/2014 and Commission Delegated
Regulation (EU) 2016/1052.
The Company intends to carry out the buy-back
program, and hold the shares bought back as treasury stock, for the
purpose of meeting the Company's obligations in relation to its
employee stock award plans and to support the potential settlement
of its outstanding convertible bond. As of June 28, 2021, the
Company holds approximately 8 million treasury shares, representing
approximately 0.9 percent of its issued share capital.
The Company will appoint one or more brokers to
execute the share buy-back program in accordance with all
applicable regulations. The brokers will make their decisions
relating to the purchase of Company shares independently, including
with respect to the timing of any purchases, and all purchases
effected will be in compliance with daily limits on prices and
volumes.
The Company’s closing share price on the New
York Stock Exchange on June 30, 2021, was $36.38 and, at such
price, the maximum number of shares that could be acquired for
$1,040 million would be approximately 28.6 million, which
represents approximately 3.1 percent of the Company’s issued share
capital.
Purchases of shares will be made on one or more
trading venues, which may include the regulated market of Euronext
Paris, the Mercato Telematico Azionario organised and managed by
Borsa Italiana S.p.A. and the New York Stock Exchange.
The price paid for any share purchased pursuant
to the share buy-back program shall be subject to:
- a minimum of €1.04 per share;
- a maximum of 110 percent of the average of the highest price
per common share on each of the five trading days prior to the
purchase date, on each of the regulated market of Euronext Paris,
the Mercato Telematico Azionario organised and managed by Borsa
Italiana S.p.A. and New York Stock Exchange; and
- a maximum of the greater of (i) the price of the last
independent trade and (ii) the highest current independent purchase
bid on the trading venue where the purchase is carried out;
and
- all other applicable rules.
The actual timing, number and value of Company
shares repurchased under the share buy-back program will depend on
a number of factors, including market conditions, general business
conditions and applicable legal requirements. The Company is not
obligated to carry out the share buy-back program, and, if
commenced, the share buy- back program may be suspended and
discontinued at any time, for any reason and without previous
notice, in accordance with applicable laws and regulations.
The share buy-back program implements the
resolution of the Company’s shareholders pursuant to its annual
shareholders’ meeting held on May 27, 2021 to repurchase shares in
accordance with the authorisation of the Supervisory Board.
Continuation of the share buy-back program will be subject to
future shareholder approval at the Company's 2022 annual
shareholders’ meeting.
The Company will announce details of any share
purchases effected pursuant to the share buy-back program, as
required by applicable laws and regulations. The costs that the
Company may incur in connection with the purchase of the shares
pursuant to the share buy-back program will depend on the price and
the terms on which actual purchases are made.
About STMicroelectronicsAt ST,
we are 46,000 creators and makers of semiconductor technologies
mastering the semiconductor supply chain with state-of-the-art
manufacturing facilities. An independent device manufacturer, we
work with more than 100,000 customers and thousands of partners to
design and build products, solutions, and ecosystems that address
their challenges and opportunities, and the need to support a more
sustainable world. Our technologies enable smarter mobility, more
efficient power and energy management, and the wide-scale
deployment of the Internet of Things and 5G technology. Further
information can be found at www.st.com.
For further information, please contact:
INVESTOR RELATIONS:Céline BerthierGroup VP,
Investor RelationsTel : +41.22.929.58.12celine.berthier@st.com
MEDIA RELATIONS:Alexis BretonCorporate External
CommunicationsTel: + 33 6 59 16 79 08alexis.breton@st.com
- C3016C -- July 1 2021 Share Buy-Back Program_Press Release -
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