STMicroelectronics Announces Status of Common Share Repurchase Program

Rhea-AI Summary

STMicroelectronics has disclosed its recent share repurchase activity from December 19 to December 23, 2022. During this period, the company bought back 113,367 ordinary shares, amounting to approximately EUR 3.91 million at an average price of EUR 34.5166 per share. The repurchase aims to fulfill obligations related to employee share option programs and may also be used for other lawful purposes. Following these transactions, STMicroelectronics holds about 7.43 million treasury shares, representing 0.8% of its issued share capital.

Positive

• Share repurchase of 113,367 shares enhances shareholder value.
• Repurchase activity indicates management's confidence in future growth.

Negative

• The total amount spent on share buybacks could indicate opportunity costs that might be invested elsewhere for higher returns.

STMicroelectronics Announces Status of
Common Share Repurchase Program

Disclosure of Transactions in Own Shares – Period from Dec 19, 2022 to Dec 23, 2022

AMSTERDAM – December 27, 2022 -- STMicroelectronics N.V. (the “Company” or “STMicroelectronics”), a global semiconductor leader serving customers across the spectrum of electronics applications, announces full details of its common share repurchase program (the “Program”) disclosed via a press release dated July 1, 2021. The Program was approved by a shareholder resolution dated May 27, 2021 and by the supervisory board.

STMicroelectronics N.V. (registered with the trade register under number 33194537) (LEI: 213800Z8NOHIKRI42W10) (Ticker: “STM”) announces the repurchase (by a broker acting for the Company) on the regulated market of Euronext Paris, in the period between Dec 19, 2022 to Dec 23, 2022 (the “Period”), of 113,367 ordinary shares (equal to 0.01% of its issued share capital) at the weighted average purchase price per share of EUR 34.5166 and for an overall price of EUR 3,913,041.40.

The purpose of these transactions under article 5(2) of Regulation (EU) 596/2014 (the Market Abuse Regulation) was to meet obligations arising from share option programmes, or other allocations of shares, to employees or to members of the administrative, management or supervisory bodies of the issuer or of an associate company.

The shares may be held in treasury prior to being used for such purpose and, to the extent that they are not ultimately needed for such purpose, they may be used for any other lawful purpose under article 5(2) of the Market Abuse Regulation.

Below is a summary of the repurchase transactions made in the course of the Period in relation to the ordinary shares of STM (ISIN: NL0000226223), in detailed form.

Transactions in Period

Dates of transaction	Number of shares purchased	Weighted average purchase price per share (EUR)	Total amount paid (EUR)	Market on which the shares were bought (MIC code)
19-Dec-22	22,505	34.9397	786,317.95	XPAR
20-Dec-22	22,775	34.4830	785,350.33	XPAR
21-Dec-22	22,481	34.8069	782,493.92	XPAR
22-Dec-22	22,586	34.6164	781,846.01	XPAR
23-Dec-22	23,020	33.7547	777,033.19	XPAR
Total for Period	113,367	34.5166	3,913,041.40

Following the share buybacks detailed above, the Company holds in total 7,430,582 treasury shares, which represents approximately 0.8% of the Company’s issued share capital.

In accordance with Article 5(1)(b) of the Market Abuse Regulation and Article 2(3) of Commission Delegated Regulation (EU) 2016/1052, a full breakdown of the individual trades in the Program are disclosed on the ST website (https://investors.st.com/stock-and-bond-information/share-buyback).

About STMicroelectronics
At ST, we are 48,000 creators and makers of semiconductor technologies mastering the semiconductor supply chain with state-of-the-art manufacturing facilities. An integrated device manufacturer, we work with more than 200,000 customers and thousands of partners to design and build products, solutions, and ecosystems that address their challenges and opportunities, and the need to support a more sustainable world. Our technologies enable smarter mobility, more efficient power and energy management, and the wide-scale deployment of the Internet of Things and connectivity. ST is committed to becoming carbon neutral by 2027. Further information can be found at www.st.com.

For further information, please contact:

INVESTOR RELATIONS:
Céline Berthier
Group VP, Investor Relations
Tel: +41.22.929.58.12
celine.berthier@st.com

MEDIA RELATIONS:
Alexis Breton        
Corporate External Communications
Tel: +33.6.59.16.79.08
alexis.breton@st.com

Attachment

• C3144C -- Dec 27 2022 -- Disclosure of transactions in Own Shares PR_FINAL FOR PUBLICATION

FAQ

What is the purpose of the STM share repurchase program?

The STM share repurchase program aims to meet obligations arising from share option programs for employees and management.

How many shares did STM buy back in December 2022?

STM bought back 113,367 shares from December 19 to December 23, 2022.

What was the average purchase price for STM shares in December 2022?

The weighted average purchase price was EUR 34.5166 per share.

What is the impact of STM's share buyback on the stock price?

Share buybacks typically enhance shareholder value, potentially leading to an increase in stock price due to reduced share supply.

How many treasury shares does STM hold after the repurchase?

After the repurchase, STM holds approximately 7.43 million treasury shares, equivalent to 0.8% of its issued share capital.