PAREXEL International Announces $200 Million Accelerated Share Repurchase Program
November 22 2016 - 10:09AM
Business Wire
PAREXEL International Corporation (Nasdaq:PRXL), a leading
global biopharmaceutical services provider, announced today that
the Company entered into an accelerated share repurchase agreement
(ASR) with HSBC Bank USA, National Association, to purchase shares
of its common stock for an aggregate purchase price of $200
million. The Company is acquiring these shares as part of the stock
repurchase plan authorized by the Board that was announced on
October 26, 2016. Pursuant to the agreement, on November 23, 2016,
the Company will initially receive approximately 2.8 million shares
of common stock, representing 80 percent of the shares to be
repurchased by the Company under the Agreement. The shares will be
repurchased at a price of $57.51 per share, which was the closing
price of the common stock on November 21, 2016. The total number of
shares ultimately repurchased by PAREXEL under the agreement will
be determined upon final settlement, using prices based generally
on the volume-weighted average price of the Company’s common stock
over a period of time not expected to exceed six months. These
shares will be cancelled and restored to the status of authorized
and unissued shares.
The Company intends to use cash on hand, cash generated from
operations, existing credit facilities or other financing to fund
the share repurchase program. As of September 30, 2016, the Company
had cash and cash equivalents of approximately $326 million and
availability under an existing line of credit of $325 million. As
of November 11, 2016, the Company had approximately 53.3 million
common shares outstanding.
Mr. Josef von Rickenbach, Chairman and CEO of PAREXEL stated,
“This share purchase program demonstrates our commitment to
optimize the capital structure of the Company and to maximize value
for our shareholders. After the completion of this current share
repurchase program, the Company will have returned more than $750
million to shareholders since Fiscal Year 2013.”
About PAREXEL International
PAREXEL International Corporation is a leading global
biopharmaceutical services company, providing a broad range of
expertise-based clinical research, consulting, medical
communications, and technology solutions and services to the
worldwide pharmaceutical, biotechnology and medical device
industries. Committed to providing solutions that expedite
time-to-market and peak-market penetration, PAREXEL has developed
significant expertise across the development and commercialization
continuum, from drug development and regulatory consulting to
clinical pharmacology, clinical trials management, and
reimbursement. PAREXEL Informatics provides advanced technology
solutions, including medical imaging, to facilitate the clinical
development process. Headquartered near Boston, Massachusetts,
PAREXEL has offices in 85 locations in 51 countries around the
world, and had approximately 18,750 employees in the first quarter.
For more information about PAREXEL International visit www.PAREXEL.com.
PAREXEL and PAREXEL Informatics are trademarks or registered
trademarks of PAREXEL International Corporation or its
affiliates.
This release contains “forward-looking” statements regarding
future results and events, including, without limitation,
statements regarding the Company’s intention to repurchase shares
of its common stock from time to time under the stock repurchase
program, the intended use of any repurchased shares, the source of
funding for the stock repurchase program, and the Company’s
expected financial results, future growth and customer demand. For
this purpose, any statements contained herein that are not
statements of historical fact may be deemed forward-looking
statements. Without limiting the foregoing, the words “believes,”
“anticipates,” “plans,” “expects,” “intends,” “appears,”
“estimates,” “projects,” “will,” “would,” “could,” “should,”
“targets,” and similar expressions are also intended to identify
forward-looking statements. The forward-looking statements in this
release involve a number of risks and uncertainties. The Company’s
actual future results may differ materially from the results
discussed in the forward-looking statements contained in this
release. Important factors that might cause such a difference
include, but are not limited to, the market price of the Company’s
stock prevailing from time to time, the nature of other investment
opportunities presented to the Company from time to time, the
Company’s cash flow from operations, and other general and
international economic, political, and other risks. Such factors
and others are discussed more fully in the section entitled “Risk
Factors” of the Company’s Annual Report on Form 10-K and subsequent
quarterly reports on Form 10-Q, as filed with the Securities and
Exchange Commission, which “Risk Factors” discussion is
incorporated by reference in this press release. The Company
specifically disclaims any obligation to update these
forward-looking statements in the future. These forward-looking
statements should not be relied upon as representing the Company’s
estimates or views as of any date subsequent to the date of this
press release.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20161122005720/en/
Investors:Ronald AldridgeEmail: Ron.Aldridge@PAREXEL.comTel.: +
1-781-434-4753 or +1-781-434-8465orMedia:Cristi BarnettEmail:
Cristi.Barnett@PAREXEL.comTel.: +1 781-434-4019
Parexel (NASDAQ:PRXL)
Historical Stock Chart
From Aug 2024 to Sep 2024
Parexel (NASDAQ:PRXL)
Historical Stock Chart
From Sep 2023 to Sep 2024