AmerisourceBergen (Valley Forge, Pennsylvania) reported that its board has authorized repurchase of up to $450 million of its outstanding shares of common stock.
As of April 30, the company had around 104.2 million common shares outstanding. The company said it would hold any repurchased shares as treasury shares, which will be available for general corporate purposes.
“Repurchasing our shares makes sense given AmerisourceBergen’s strong cash position,” said CEO R. David Yost. “Our expectations for fiscal 2005 remain unchanged. We continue to expect operating revenue growth in fiscal year 2005 to be at about $49 billion, and diluted earnings per share from continuing operations before the cumulative effect of an accounting change for fiscal 2005 of between $3.10 and $3.50 on a GAAP basis.”
AmerisourceBergen is one of the largest pharmaceutical services firms in the U.S., providing drug distribution and related services designed to reduce costs and improve patient outcomes.
Its solutions range from pharmacy automation, bedside medication safety systems, and pharmaceutical packaging to pharmacy services for skilled nursing and assisted living facilities, reimbursement and pharmaceutical consulting services, and physician education.