Extreme Networks Jumps on $100 Million Self-Tender
Extreme Networks (EXTR) shares are on the rise this morning after the company announced plans to buy back $100 million of its common stock at a price between $3.30 to $3.70 a share in a “modified Dutch auction” tender offer that will start today and expire Sept. 12. At the low end of the price range, the company would buy back 26 percent of its outstanding shares. The offer will be funded through cash on hand.
Chairman Gordon Stitt said in a statement that “the Board believes that this offer is an opportunity to increase the long-term value of our stock for our stockholders, while at the same time providing stockholders who wish to tender some or all of their shares a way to do so efficiently.”