US EditionNetflix Boosts Share Buyback Plan by $25 Billion After Failed Warner Bros Bid
The program adds to a December 2024 authorization as Netflix uses a $2.8 billion termination fee and elevated cash to support shareholder returns.
- On Thursday, Netflix disclosed in an SEC filing that its board authorized an additional $25 billion common stock repurchase program, resuming capital returns after abandoning its $72 billion attempt to acquire Warner Bros. Discovery assets.
- The streaming giant walked away from the $72 billion deal earlier this year, and Paramount Skydance subsequently paid Netflix a $2.8 billion breakup fee, providing liquidity to bolster shareholder returns.
- Combining the new authorization with the $6.8 billion remaining from a December 2024 program, the total potential buyback could reach $32 billion, representing approximately 8% of Netflix's total market capitalization.
- Netflix shares rose 1.33% in premarket trading following the announcement, while Emarketer senior analyst Ross Benes noted the buyback "provides some answers" regarding post-breakup capital allocation.
- Despite the upcoming June departure of co-founder and Chairman Reed Hastings, the company plans to invest about $20 billion in films and television this year, maintaining its focus on organic growth.
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27 Articles
Netflix reported this Thursday that it has authorized an additional share buyback program worth $25 billion following the failure of agreement for the acquisition of Warner Bros. Discovery (WBD).The entertainment giant reaffirmed his commitment to purchase in a report published to the United States Stock Exchange and Securities Commission (SEC), detailing that the acquisition of these shares will be executed without being subject to a fixed expi…
Netflix Is Investing In Itself - Expands Stock Buyback - Netflix (NASDAQ:NFLX)
Netflix, Inc. (NASDAQ:NFLX) shares rose in premarket trading on Thursday after the company expanded its stock buyback plan and reinforced its growth outlook. According to an exchange filing, the streaming giant approved a fresh $25 billion repurchase authorization, adding to an earlier program announced in December 2024. The combined plan carries no expiration date and offers flexibility in execution. Share Repurchase Strategy Expands The board …
Netflix boosts share buyback plan by $25 billion
Netflix said today that its board has authorised an additional $25 billion share repurchase programme, resuming capital returns after the streaming giant walked away from a $72 billion deal to buy Warner Bros Discovery's assets.
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