AOL Inc. (AOL) Commences $400M Modified 'Dutch Auction' Tender Offer
Tweet Send to a FriendGet Alerts AOL Hot Sheet
Price: $37.16 -0.51%
Overall Analyst Rating:
BUY (
Up)
Dividend Yield: 13.7%
Revenue Growth %: +1.7%
Overall Analyst Rating:
BUY (
Up)Dividend Yield: 13.7%
Revenue Growth %: +1.7%
Trade AOL Now!
AOL Inc. (NYSE: AOL) has commenced a modified “Dutch auction” tender offer to repurchase shares of its common stock up to an aggregate purchase price of $400 million.
The $400 million aggregate purchase price of shares of common stock sought in the tender offer includes the approximately $40 million remaining from the initial $250 million stock repurchase authorized in August of 2011 and brings the total amount AOL intends to return to shareholders in 2012 to approximately $1.1 billion. The tender offer begins today, June 28, 2012, and will expire at 5:00 p.m., New York City time, on August 2, 2012, unless extended or earlier terminated by the Company. Under the terms of the proposed tender offer, AOL’s shareholders will have the opportunity to tender some or all of their shares at a price within the range of $27.00 to $30.00 per share.
Based on the number of shares tendered and the prices specified by the tendering shareholders, AOL will determine the lowest per share price within the range of tenders that will enable the Company to buy $400 million in shares, or such lower amount depending on the number of shares that are properly tendered and not properly withdrawn. All shares accepted for payment will be paid the same price, regardless of whether a shareholder tendered such shares at a lower price within the range. If the tender offer is fully subscribed, then shares of common stock having an aggregate purchase price of $400 million will be purchased, representing approximately 15.8 percent to 14.2 percent of AOL’s issued and outstanding shares as of June 14, 2012, depending on the purchase price payable for those shares pursuant to the tender offer.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
The $400 million aggregate purchase price of shares of common stock sought in the tender offer includes the approximately $40 million remaining from the initial $250 million stock repurchase authorized in August of 2011 and brings the total amount AOL intends to return to shareholders in 2012 to approximately $1.1 billion. The tender offer begins today, June 28, 2012, and will expire at 5:00 p.m., New York City time, on August 2, 2012, unless extended or earlier terminated by the Company. Under the terms of the proposed tender offer, AOL’s shareholders will have the opportunity to tender some or all of their shares at a price within the range of $27.00 to $30.00 per share.
Based on the number of shares tendered and the prices specified by the tendering shareholders, AOL will determine the lowest per share price within the range of tenders that will enable the Company to buy $400 million in shares, or such lower amount depending on the number of shares that are properly tendered and not properly withdrawn. All shares accepted for payment will be paid the same price, regardless of whether a shareholder tendered such shares at a lower price within the range. If the tender offer is fully subscribed, then shares of common stock having an aggregate purchase price of $400 million will be purchased, representing approximately 15.8 percent to 14.2 percent of AOL’s issued and outstanding shares as of June 14, 2012, depending on the purchase price payable for those shares pursuant to the tender offer.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Macy's (M) Posts Q1 EPS of 55c; Comps Up 3.8%; Boosts Dividend 25%, Raises Buyback
- Oramed Pharma (ORMP) OK'd by FDA for ORMD-0801 IND
- Alnylam (ALNY) Updates on Preclinical Data for RNAi Program Targeting ALAS-1
Create E-mail Alert Related Categories
Corporate News, Stock BuybacksRelated Entities
Stock Buyback
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
