IGT Announces New $1B Share Repurchase Authorization; $400M Accelerated Stock Buyback
International Game Technology (NYSE: IGT), a global leader in driving technology innovations in the gaming industry, today announced that its Board of Directors has authorized a new share repurchase program of up to $1 billion of the Company's outstanding common stock.
Additionally, the Company has entered into an accelerated stock buyback agreement with Goldman, Sachs & Co., under which it will repurchase approximately $400 million of its common stock. The accelerated stock buyback will be conducted as the first part of the Company's new $1 billion share repurchase authorization. The remaining $600 million is currently anticipated to be utilized over the next 3 to 4 years.
These actions demonstrate the Board of Directors' confidence and IGT's continued dedication to responsible capital deployment. Over the past 10 years, IGT has returned over $4 billion in cash to shareholders in share repurchases and dividends.
IGT will fund the accelerated stock buyback using cash on hand and borrowings from the Company's revolving credit facility. The new $1 billion share repurchase authorization will replace the company's previously announced $500 million authorization.
Under the terms of the agreement, IGT will pay Goldman Sachs $400 million on June 19 and will receive initial deliveries of approximately 21 million shares, representing a substantial majority of the shares expected to be retired over the course of the accelerated stock buyback.
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