A Medical Device Daily Staff Report
Haemonetics (Braintree, Massachusetts) reported that its board approved a two-for-one split of the company's common stock, which will be effected in the form of a 100% stock dividend. The stock dividend will be distributed Nov. 30 to stockholders of record as of Nov. 9 and the company's common stock will begin trading on a post-split basis on the New York Stock Exchange on Dec. 3.
Each share of Haemonetics' pre-split common stock held by a shareholder, including shares subject to outstanding stock options and shares available for grant under the company's equity incentive plans, will be represented by two shares of the company's post-split common stock. The split will affect all stockholders uniformly and will not affect any stockholder's ownership percentage, the company reported.
Haemonetics said it expects that this split will make its shares more accessible, increase its shareholder base and improve its market liquidity.
With the company's recent growth, long term shareholder value creation and its most significant acquisition recently completed, the stock split also reflects confidence in the company's strength and ability to continue to generate long term growth and financial performance.
The company repurchased 74,300 shares in the open market at an average cost of $71.91, returning $5.3 million to shareholders during the second quarter. The board of directors previously approved the repurchase of up to $50 million of shares in the open market during the remainder of fiscal 2013.