LOS ALTOS, Calif., Aug 19, 2010 (BUSINESS WIRE) -- Rambus Inc. (NASDAQ:RMBS), one of the world's premier technology
licensing companies, today announced that it has initiated a share
repurchase program to repurchase approximately $90 million of its common
stock pursuant to a Share Repurchase Agreement with J.P. Morgan
Securities Inc., as agent for JPMorgan Chase Bank, National Association,
London Branch ("JP Morgan"), as part of the Company's share repurchase
program.
"This share repurchase demonstrates our confidence in Rambus' long-term
prospects and illustrates our continuing commitment to increasing
shareholder value," said Satish Rishi, senior vice president and chief
financial officer at Rambus.
Under the Share Repurchase Agreement, Rambus will pre-pay to JP Morgan
the $90 million purchase price for common stock and JP Morgan will
deliver to Rambus a number of shares of its common stock. The number of
shares delivered to Rambus will be determined based on the volume
weighted average price of the common stock, calculated over a period of
between one and four months following the date of the Share Repurchase
Agreement, minus an agreed upon discount between the parties. The shares
of common stock will be delivered by JP Morgan to Rambus on the third
business day following the calculation period described above.
The Share Repurchase Agreement is part of the share repurchase program
previously authorized by the Board of Directors of the Company. As of
August 19, 2010, before giving effect to the transaction under the Share
Repurchase Agreement, there remained an outstanding authorization under
the share repurchase program to repurchase approximately 10 million
shares of the outstanding common stock.
About Rambus Inc.
Rambus is one of the world's premier technology licensing companies.
Founded in 1990, the Company specializes in the invention and design of
architectures focused on enhancing the end-user experience of electronic
systems. Rambus' patented innovations and breakthrough technologies help
industry-leading companies bring superior products to market. Rambus
licenses both its world-class patent portfolio, as well as its family of
leadership and industry-standard solutions. Headquartered in Los Altos,
California, Rambus has regional offices in North Carolina, Ohio, India,
Germany, Japan, and Taiwan. Additional information is available at www.rambus.com.
Forward-Looking Statements
This release contains or may include forward-looking statements under
the Private Securities Litigation Reform Act of 1995 relating, among
other things, to the purchase price of shares acquired pursuant to the
Share Repurchase Agreement, the timing and the duration of prospective
share purchases and the amount of cash that may be expended in
connection with such share repurchases. Such forward-looking statements
are based on current expectations, estimates and projections,
management's beliefs and certain assumptions made by the Company's
management. Actual results may differ materially. Rambus undertakes no
obligation to update forward-looking statements to reflect events or
circumstances after the date hereof.
RMBSFN
SOURCE: Rambus Inc.
Rambus Inc.
Linda Ashmore, 650-947-5411
lashmore@rambus.com
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