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News Corp Announces $2 Billion Buy-Back Program

News Corporation has announced a buy-back of its common stock Class A, with a total of 372,357,131 securities on issue in the class. The company intends to repurchase an aggregate of US$1 billion of Class A common stock and Class B common stock under the 2021 Repurchase Program and an additional US$1 billion under the 2025 Repurchase Program. As of the latest notification, the company has bought back a total of 27,193,681 securities, worth US$595,783,536, with the highest price paid being US$30.93 and the lowest being US$14.88.

The buy-back offer does not require security holder approval and there are no restrictions on foreign participation. The company has stated that the buy-back is intended to enhance shareholder value. The authorized buy-back amount under the 2021 Repurchase Program is approximately US$900,905,762, based on the total consideration paid to date.

The notification also mentions that the buy-back is not applicable for selective buy-backs, and no ASX-listed CDIs will be repurchased in these programs. The company has engaged Goldman Sachs & Co. LLC as the broker to offer to buy back securities on its behalf.

The latest daily buy-back notification indicates that the company bought back 27,193,681 securities on the previous day, worth US$595,783,536. The remaining amount of authorized buy-back under the 2021 and 2025 Repurchase Programs is approximately US$99,094,238, based on the total authorization of US$1 billion for each program.

The buy-back is anticipated to occur on 22/9/2021, and the company has disclosed an intention to repurchase an aggregate of US$1 billion of Class A common stock and Class B common stock under the 2025 Repurchase Program.

Following these announcements, the company's shares moved 0.39%, and are now trading at a price of $25.68. If you want to know more, read the company's complete 8-K report 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.

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