STMicroelectronics Announces Status of Common Share Repurchase Program
STMicroelectronics N.V. (STM) has announced the status of its common share repurchase program for the period from October 14 to 18, 2024. The company repurchased 369,000 ordinary shares, representing 0.04% of its issued share capital, at a weighted average price of €25.5055 per share for a total of €9,411,525.00. The purpose of these transactions is to meet obligations arising from share option programmes or other share allocations to employees or company bodies. Following these buybacks, STMicroelectronics holds 10,836,614 treasury shares, approximately 1.2% of its issued share capital.
STMicroelectronics N.V. (STM) ha annunciato lo stato del suo programma di riacquisto di azioni ordinarie per il periodo dal 14 al 18 ottobre 2024. L'azienda ha riacquistato 369.000 azioni ordinarie, rappresentando lo 0,04% del suo capitale sociale emesso, a un prezzo medio ponderato di €25,5055 per azione per un totale di €9.411.525,00. Lo scopo di queste operazioni è soddisfare gli obblighi derivanti dai programmi di opzioni su azioni o altre assegnazioni di azioni a dipendenti o organi aziendali. A seguito di questi riacquisti, STMicroelectronics detiene 10.836.614 azioni proprie, circa l'1,2% del suo capitale sociale emesso.
STMicroelectronics N.V. (STM) ha anunciado el estado de su programa de recompra de acciones ordinarias para el período del 14 al 18 de octubre de 2024. La compañía recompró 369,000 acciones ordinarias, lo que representa el 0.04% de su capital social emitido, a un precio medio ponderado de €25.5055 por acción por un total de €9.411.525,00. El propósito de estas transacciones es cumplir con las obligaciones derivadas de los programas de opciones sobre acciones u otras asignaciones de acciones a empleados u órganos de la empresa. Tras estas recompras, STMicroelectronics posee 10.836.614 acciones en tesorería, aproximadamente el 1.2% de su capital social emitido.
STMicroelectronics N.V. (STM)이 2024년 10월 14일부터 18일까지의 보통주 매입 프로그램 상태를 발표했습니다. 회사는 369,000주의 보통주를 재매입하였으며, 이는 발행된 자본금의 0.04%에 해당하며, 주당 가중 평균 가격은 €25.5055이고 총액은 €9,411,525.00입니다. 이러한 거래의 목적은 직원이나 회사 기관에 대한 주식 옵션 프로그램 또는 기타 주식 할당으로 인한 의무를 이행하기 위한 것입니다. 이러한 재매입 후, STMicroelectronics는 10,836,614주의 자사주를 보유하게 되었으며, 이는 발행된 자본금의 약 1.2%에 해당합니다.
STMicroelectronics N.V. (STM) a annoncé l'état de son programme de rachat d'actions ordinaires pour la période du 14 au 18 octobre 2024. L'entreprise a racheté 369 000 actions ordinaires, représentant 0,04 % de son capital social émis, à un prix moyen pondéré de 25,5055 € par action pour un total de 9 411 525,00 €. Le but de ces transactions est de répondre aux obligations découlant des programmes d'options sur actions ou d'autres attributions d'actions aux employés ou aux organes de l'entreprise. Suite à ces rachats, STMicroelectronics détient 10 836 614 actions propres, soit environ 1,2 % de son capital social émis.
STMicroelectronics N.V. (STM) hat den Status seines Programms zum Rückkauf von Stammaktien für den Zeitraum vom 14. bis 18. Oktober 2024 bekannt gegeben. Das Unternehmen hat 369.000 Stammaktien zurückgekauft, was 0,04% des ausgegebenen Grundkapitals entspricht, zu einem gewichteten Durchschnittspreis von €25,5055 pro Aktie für insgesamt €9.411.525,00. Zweck dieser Transaktionen ist es, Verpflichtungen aus Aktienoptionsprogrammen oder anderen Aktienzuteilungen an Mitarbeiter oder Unternehmensorgane zu erfüllen. Nach diesen Rückkäufen hält STMicroelectronics 10.836.614 eigene Aktien, was ungefähr 1,2% des ausgegebenen Grundkapitals entspricht.
- Repurchased 369,000 shares, potentially increasing shareholder value
- Total buyback amount of €9,411,525.00, demonstrating financial strength
- Shares may be used for employee stock options, aligning employee interests with shareholders
- Buyback represents only 0.04% of issued share capital, impact on overall share structure
- Average purchase price of €25.5055 per share may not represent optimal use of capital if stock price declines
Insights
STMicroelectronics' share repurchase program is a strategic move that can be viewed positively by investors. The company bought back 369,000 shares (0.04% of issued share capital) at a weighted average price of
The repurchase serves multiple purposes:
- Meeting obligations for employee share options and allocations
- Potentially reducing the number of outstanding shares, which could increase earnings per share
- Signaling to the market that the company believes its stock is undervalued
With 10,836,614 treasury shares (about 1.2% of issued capital) after this buyback, STMicroelectronics has built a substantial reserve for future employee compensation or other corporate purposes. This flexibility can be advantageous in attracting and retaining talent in the competitive semiconductor industry.
However, investors should also consider that funds used for buybacks are not being invested in R&D or expansion, which could impact long-term growth. The relatively small size of this repurchase suggests a balanced approach to capital allocation.
STMicroelectronics Announces Status of
Common Share Repurchase Program
Disclosure of Transactions in Own Shares – Period from Oct 14, 2024 to Oct 18, 2024
AMSTERDAM – October 21, 2024 -- 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 June 21, 2024. The Program was approved by a shareholder resolution dated May 22, 2024 and by the supervisory board.
STMicroelectronics N.V. (registered with the trade register under number 33194537) (LEI: 213800Z8NOHIKRI42W10) announces the repurchase (by a broker acting for the Company) on the regulated market of Euronext Paris, in the period between Oct 14, 2024 to Oct 18, 2024 (the “Period”), of 369,000 ordinary shares (equal to
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 STMicroelectronics (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) |
| 14-Oct-24 | 71,000 | 25.6438 | 1,820,709.80 | XPAR |
| 15-Oct-24 | 75,000 | 25.6453 | 1,923,397.50 | XPAR |
| 16-Oct-24 | 84,000 | 25.1238 | 2,110,399.20 | XPAR |
| 17-Oct-24 | 80,000 | 25.4533 | 2,036,264.00 | XPAR |
| 18-Oct-24 | 59,000 | 25.7755 | 1,520,754.50 | XPAR |
| Total for Period | 369,000 | 25.5055 | 9,411,525.00 |
Following the share buybacks detailed above, the Company holds in total 10,836,614 treasury shares, which represents approximately
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 over 50,000 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 cloud-connected autonomous things. We are committed to achieving our goal to become carbon neutral on scope 1 and 2 and partially scope 3 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
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