The preset repurchase price gives Symphony and its co-investors an average return of 32% a year.
If the REIT offers a share redemption program, make sure you understand how the repurchase price for your shares will be determined and, most importantly, the limitations of the plan.
One of its newly-granted patents could automatically lower the price of repurchase-friendly content, such as a Google Play Movies rental, depending on how likely you are to pull the trigger.
The sale comes with the agreement that the seller will repurchase the securities at a higher price.
At the minimum price and assuming the initial repurchase of the full 20% stake, Yahoo!
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So a boss with a stack of options to buy the company's shares at a set price has a strong incentive to repurchase shares.
As in Zollars' case, the companies typically retain a right to repurchase a portion of those shares at the grant price if the executive screws up.
Last fall Berkshire announced that if the per-share book value fell below 110% of the stock price (1.1x the stock price) the company would step in and repurchase shares.
It has an exclusive option to repurchase its rights to the three drugs for a preset price, which it will likely do if the clinical trials succeed on its cholesterol-lowering drug, called 301012.
At the current Yahoo share price levels, she says, it pays to repurchase the stock.
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Suppose the price goes up and the company does not follow through on the repurchase?
Isis Chief Executive Stanley Crooke says by doing the deal he is betting on a rise in Isis' stock price, because Isis can use a combination of cash and its stock to repurchase the rights to the drugs.
Analysts say CEO RobertNardelliRobert Nardelli, who has taken aim at the share price this year by hiking the annual dividend 50% and by accelerating the company's share repurchase program, has two big motivations to get the stock up.
Analysts say CEO Robert Nardelli , who has taken aim at the share price this year by hiking the annual dividend 50% and by accelerating the company's share repurchase program, has two big motivations to get the stock up.
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