GO
Loading...

Expedia to Buy Back Up to 42% of Its Common Stock

Travel Web site operator Expedia said Tuesday it plans to buy back up to 42% of its common stock for $3.5 billion.

Expedia will buy back up to 116.7 million shares for no less than $27.50 per share and no more than $30 per share. The stock closed at $25.50 on Monday.

The modified "Dutch tender" offer is expected to start next week and expire the week of Aug. 6 unless extended.

In a Dutch auction, shareholders submit an offer to sell their shares within a range set by the company. The company then determines the purchase price based on the offers submitted.

"With this action, we couldn't be clearer that the management and the board of this company are confident in the value of Expedia and in its long term future," Chairman and Senior Executive Barry Diller said in a statement.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    To learn more about how we use your information,
    please read our Privacy Policy.
    › Learn More

Don't Miss

U.S. Video

  • Discussing volatile markets, and his best strategy now, with Robert Sechan, UBS Private Wealth Management. He says he was surprised by the recent selloff.

  • FMHR trader Jon Najarian provides insight to one bet the Volatility Index drops dramatically; and the traders discuss if Santa is here to stay.

  • So much for drones. Amazon is enlisting bike messengers for a new service that gets packages to consumers in an hour. CNBC's Landon Dowdy reports.