SUNNYVALE, Calif.--(BUSINESS WIRE)--
Rambus Inc. (NASDAQ: RMBS) today announced it has initiated an
accelerated share repurchase program with Citibank, N.A. to repurchase
an aggregate of approximately $50 million of its common stock, with an
initial delivery of approximately 3.1 million shares.
"Repurchasing Rambus shares reinforces our confidence in existing
product programs and highlights our ability to continue to invest in
critical technology areas while delivering shareholder value," said Dr.
Ron Black, president and chief executive officer at Rambus.
Under the accelerated share repurchase program, Rambus will pre-pay to
Citibank the $50 million purchase price for its common stock and, in
turn, Rambus will receive an initial delivery of approximately 3.1
million shares of its common stock from Citibank within the first week
of the program. The number of shares to be purchased ultimately by
Rambus will be determined based on the volume weighted average price of
the common stock during the terms of the transaction, minus an agreed
upon discount between the parties. The program is expected to be
completed within six months. The shares of common stock will be
delivered by Citibank to Rambus on the third business day following the
calculation period described above.
The accelerated share repurchase program is part of the broader share
repurchase program previously authorized by the Rambus Board of
Directors. As of March 5, 2018, before giving effect to the transaction
under the accelerated share repurchase program, there remained an
outstanding authorization under the broader share repurchase program to
repurchase approximately 7.4 million shares of the company's outstanding
common stock.
About Rambus Inc.
Dedicated to making data faster and safer, Rambus creates innovative
hardware, software and services that drive technology advancements from
the data center to the mobile edge. Our architecture licenses, IP cores,
chips, software, and services span memory and interfaces, security, and
emerging technologies to positively impact the modern world. We
collaborate with the industry, partnering with leading chip and system
designers, foundries, and service providers. Integrated into tens of
billions of devices and systems, our products and technologies power and
secure diverse applications, including Big Data, Internet of Things
(IoT) security, mobile payments, and smart ticketing. For more
information, visit rambus.com.
Forward-Looking Statements
This release contains 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 accelerated
share repurchase program, the timing and the duration of prospective
share purchases, the amount of cash that may be expended in connection
with such share repurchases and the potential growth from our strategic
programs. 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.
Source: Rambus Inc.
View source version on businesswire.com: http://www.businesswire.com/news/home/20180306005755/en/
Source: Rambus Inc.