United Therapeutics Announces $1 Billion Share Repurchase Program

By Ahmed Jameison • Sunday, August 03 10:18 • Permanent Link

United Therapeutics Corporation (NASDAQ: UTHR) has announced an accelerated share repurchase program to repurchase an aggregate $1 billion of UTHR common stock. This program reflects the company's confidence in its near-term prospects and the strength of its balance sheet.

The company will enter into two accelerated share repurchase (ASR) agreements with Citibank, N.A. (Citi) to repurchase the shares under the $1 billion repurchase program. The ASR agreements comprise a $500 million collared and a $500 million uncollared agreement.

As of July 30, 2025, United Therapeutics had approximately 45.2 million shares outstanding.

Under the terms of the ASR agreements, United Therapeutics will make an aggregate upfront payment of $1 billion to Citi on August 4, 2025. The company will receive an initial delivery of shares representing approximately 75% of the total shares anticipated to be repurchased under the uncollared ASR agreement and approximately 50% of the total shares anticipated to be repurchased under the collared ASR agreement.

The final number of shares that United Therapeutics will ultimately repurchase pursuant to the uncollared ASR will be based on the average of the daily volume-weighted average price per share of UTHR common stock during the term of the uncollared ASR, less a discount and subject to adjustments pursuant to the terms and conditions of the uncollared ASR. Final settlement of the uncollared ASR agreement is expected to be in the fourth quarter of 2025.

For the collared ASR, the final number of shares that United Therapeutics will ultimately repurchase will be determined based on the average of the daily volume-weighted average price per share of UTHR common stock during the term of the collared ASR, less a discount and subject to a collar provision establishing the minimum and maximum numbers of shares to be repurchased, as well as other adjustments, pursuant to the terms and conditions of the collared ASR. Final settlement of the collared ASR agreement is expected to be in the first quarter of 2026.

The press release also emphasized the company's commitment to a balanced capital allocation philosophy, providing flexibility to invest in future growth while returning capital to shareholders. As a result of these announcements, the company's shares have moved 7.13% on the market, and are now trading at a price of $294.28. For more information, read the company's full 8-K submission here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.