Harmonic reports early results of Dutch auction
Harmonic plans to acquire about 12 million shares in Dutch auction tender offer
SAN JOSE, Calif. (AP) -- Video services provider Harmonic said Tuesday that it plans to acquire about 12 million shares in a Dutch auction tender offer for a total of approximately $75 million.
The shares were priced at $6.25 each. The company had offered to buy up to 16 million shares at no more than $6.25 per share but no less than $5.75 per share.
In a Dutch auction, stockholders notify a company how many shares they'd like to sell and at what price within the announced range. The company reviews the offers and determines the lowest share price within its range that would enable it to buy back the shares it wants.
Harmonic Inc. said that the 12 million shares it is buying represent about 10.6 percent of its outstanding stock.
The Dutch auction tender offer expired on Friday.
Shares of Harmonic added 11 cents, nearly 2 percent, to $6.21 in afternoon trading. The stock hit $6.40 earlier in the session, its highest point in more than a year.
