The board of directors for T-Mobile US, Inc. authorized a stock repurchase program for up to $1.5 billion of T-Mobile’s common stock through December 31, 2018. Trading begins today.
It’s the “un-carrier’s” first stock buyback program, T-Mobile EVP/CFO J. Braxton Carter told attendees Wednesday at the UBS Global Media and Communications Conference in New York, NY. He and COO Mike Sievert touted T-Mobile’s strong balance sheet and cash flow generation for giving the company the chance to return capital and make “significant” investments in its network and operations at the same time.
The stock buyback will operate through 2018. How will it change how T-Mobile does business? “It’s a cash flow generator,” said Sievert. “We’re at a point now where we can do both,” meaning experience “growth and paying for that growth. There’s a lot of demand for what we have to offer.”
Under the repurchase program, repurchases can be made from time to time using a variety of methods, which may include open market purchases, privately negotiated transactions or otherwise, all acceptable under SEC rules. It will not include purchases of common stock by T-Mobile from majority shareholder Deutsche Telekom AG. The timing, price and size of purchases will depend on prevailing stock prices, general economic and market conditions, and other considerations.
December 7, 2017
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