The programme will see T-Mobile buy back up to $1.5 billion worth of shares over the next 12 months
T-Mobile’s board of directors has authorised a stock repurchase programme of up to $1.5 billion, according to a company statement.
Under the terms of the programme, repurchases can be made by open market purchases and privately negotiated transactions. The scheme will run until the 31st December 2018.
"This repurchase program underscores our board of directors’ and management team’s confidence in our business and our commitment to creating value for shareholders,” said John Legere, president and CEO of T-Mobile.
“Our strong balance sheet and cash flow generation give us the ability to return capital while continuing to make significant investments in our network and operations. 2018 is going to be another exciting year in wireless and we can’t wait to get started,” he added.
Th programme does not obligate T-Mobil to buy back a specific amount of stock and the specific timing, price and size of purchases will depend on prevailing stock prices, general economic and market conditions, and other considerations.
Deutsche Telekom, who currently own around 64% of T-Mobile’s stock, said that it planned to increase its share holdings in the company.
In other news, T-Mobile has recently announced a successful LAA test in the US. Along with its partners, Ericsson, T-Mobile achieved world record speeds of 1.1 Gb/s.