InterDigital Increases Share Buyback Authorization to $400 Million

Rhea-AI Summary

InterDigital, Inc. (NASDAQ: IDCC) has announced a significant increase in its stock repurchase program, raising the total authorization to $400 million, with an additional $333 million approved. The company will utilize its cash resources for these repurchases, which will depend on market conditions. There is no obligation for InterDigital to repurchase stocks, and the program may be modified at the company's discretion. This move reflects the company's commitment to enhancing shareholder value and utilizing its cash reserves strategically.

Positive

• Increase in stock repurchase program to $400 million, enhancing shareholder value.
• Authorization of an additional $333 million indicates strong cash reserves.

Negative

• None.

WILMINGTON, Del., Jan. 03, 2023 (GLOBE NEWSWIRE) -- InterDigital, Inc. (NASDAQ: IDCC), a mobile and video technology research and development company, today announced that the company’s Board of Directors has authorized an increase to the outstanding amount of the company’s existing stock repurchase program by approximately $333 million to a total of $400 million.

The timing of stock repurchases and the number of shares of common stock to be repurchased will depend upon prevailing market conditions and other factors. Repurchases will be made using the company’s cash resources. The company is not obligated to make any repurchases, and any repurchase program may be commenced or suspended from time-to-time at the company’s discretion without prior notice. Repurchases may be made in the open market, through 10b5-1 programs, block purchases or otherwise.

About InterDigital^®

InterDigital develops mobile and video technologies that are at the core of devices, networks, and services worldwide. We solve many of the industry's most critical and complex technical challenges, inventing solutions for more efficient broadband networks, better video delivery, and richer multimedia experiences years ahead of market deployment. InterDigital has licenses and strategic relationships with many of the world's leading technology companies. Founded in 1972, InterDigital is listed on Nasdaq.

InterDigital is a registered trademark of InterDigital, Inc.

For more information, visit: www.interdigital.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include information regarding our current beliefs, plans and expectations, including, without limitation, our belief that we will continue to be able to execute strongly on our business during the ongoing COVID-19 pandemic. Words such as “believe,” “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “forecast,” “goal,” “could,” "would," "should," "if," "may," "might," "future," "target," "trend," "seek to," "will continue," "predict," "likely," "in the event," and variations of any such words or similar expressions are intended to identify such forward-looking statements.

Forward-looking statements are made on the basis of management’s current views and assumptions and are not guarantees of future performance. Forward-looking statements are inherently subject to risks and uncertainties that could cause actual results, and actual events that occur, to differ materially from results contemplated by the forward-looking statements. These risks and uncertainties include, but are not limited to: (i) unanticipated delays, difficulties or accelerations in the execution of patent license agreements; (ii) our ability to leverage our strategic relationships and secure new patent license agreements on acceptable terms; (iii) our ability to enter into sales and/or licensing partnering arrangements for certain of our patent assets; (iv) our ability to enter into partnerships with leading inventors and research organizations and identify and acquire technology and patent portfolios that align with our roadmap; (v) our ability to commercialize our technologies and enter into customer agreements; (vi) the failure of the markets for our current or new technologies and products to materialize to the extent or at the rate that we expect; (vii) unexpected delays or difficulties related to the development of our technologies and products; (viii) changes in our interpretations of, and assumptions and calculations with respect to the impact on us of, the 2017 Tax Cuts and Jobs Act and other tax legislation; (ix) risks related to the potential impact of new accounting standards on our financial position, results of operations or cash flows; (x) failure to accurately forecast the impact of our restructuring activities on our financial statements and our business; (xi) the resolution of current legal proceedings, including any awards or judgments relating to such proceedings, additional legal or regulatory proceedings, changes in the schedules or costs associated with legal proceedings or adverse rulings in such proceedings; (xii) the timing and impact of potential administrative and legislative matters; (xiii) changes or inaccuracies in market projections; (xiv) our ability to obtain liquidity though debt and equity financings; (xv) the potential effects that general economic or other conditions could have on our financial position, results of operations, cash flows or share price; and (xvi) changes in our business strategy.

We undertake no duty to revise or update publicly any forward-looking statement for any reason, except as otherwise required by law.

InterDigital Contact:
Email: investor.relations@interdigital.com
+1 (302) 300-1857

FAQ

What is the total amount authorized for InterDigital's stock repurchase program?

InterDigital has authorized a total of $400 million for its stock repurchase program, increasing it by approximately $333 million.

How will InterDigital execute its stock repurchases?

Repurchases will be made using the company's cash resources, depending on market conditions, and may include various methods like open market purchases.

Is InterDigital obligated to repurchase stocks?

No, InterDigital is not obligated to make any stock repurchases and can modify the program at its discretion.

What impact does the stock buyback have on IDCC's shareholder value?

The stock buyback is designed to enhance shareholder value by potentially reducing the number of shares outstanding.