Courtesy of Benzinga.
Natus Medical Incorporated (NASDAQ: BABY) revealed that its Board has approved an expansion of its existing stock buyback program, authorizing the repurchase of a maximum of an additional $20 million of its common stock. The company set an expiration date of June 1, 2017 to make use of the funds for purpose it was intended.
Natus Medical said it plans to use cash on hand, cash generated from operations, existing credit facilities or other financing to fund the share buyback program. As of March 31, the Company had cash and cash equivalents of about $81 million apart from the availability of $25 million under an existing line of credit.
The company indicated the timing and amount of buybacks would be subject to applicable legal requirements. That included federal and state securities laws. The company added that the purchases would be made in open market transactions effected through a broker-dealer at prevailing market prices, in block trades, or in privately negotiated transactions.
The stock traded 1.52 percent higher on Thursday.
