Philips
(NYSE: PHG)
announced that it plans to repurchase up to 7.1 million shares.
The Amsterdam-based medtech giant initiated this repurchase effort to cover certain obligations arising from long-term incentive plans. At the current share price, 7.1 million shares equals approximately $148.3 million (€132 million).
Philips said in its announcement last month that it plans to execute its repurchases through one or more individual forward transactions. The company expects these to take place in the second and/or third quarter of 2023. They must fall in accordance with the Market Abuse Regulation.
According to Philips, its repurchases must also land within the limits of the authorization granted by the company’s general shareholders meeting. The company held that meeting on May 9.
Philips anticipates taking delivery of the shares in 2024 and 2025.
Shares of PHG rose 0.1% at $22.75 apiece in midday trading today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — fell 0.05%.
