ON Semiconductor Board of Directors Approves $1 Billion Share Repurchase Program

ON Semiconductor, driving energy efficient innovations, today announced that its Board of Directors has approved a capital allocation policy under which the company intends to return approximately 80 percent of free cash flow less repayments of long-term debt to shareholders, subject to a variety of factors, including the company’s strategic plans, market and economic conditions, and Board of Directors’ discretion. ON Semiconductor defines free cash flow as net cash provided by operating activities less purchases of property, plant and equipment of the company and its consolidated subsidiaries.

The Board of Directors also approved a new share repurchase program under the new policy. Under the new share repurchase program, the company intends to repurchase approximately $1 billion worth of its common shares over a four year period, subject to the same factors and considerations described above. The new stock repurchase program is effective today and the $300 million stock repurchase program announced in August of 2012 has been terminated.

“The new capital allocation policy demonstrates ON Semiconductor’s strong commitment towards efficient use of capital and maximizing shareholder value,” said Keith Jackson, president and CEO of ON Semiconductor. “We believe that at current levels, our stock offers compelling value, and therefore the repurchase program should deliver substantial value to our shareholders. The long term outlook for our business remains strong, driven by a robust design win pipeline, and we are confident in our ability to generate approximately $300 million to $400 million of annual free cash flow on a sustained basis in the near to mid-term.”

Based on the closing price of the company’s common stock as of November 28 2014, the $1 billion repurchase program represents the potential repurchase of approximately 111 million shares or 25 percent of the weighted average diluted common shares outstanding at the end of the third quarter of 2014.

Disclaimers of Warranties
1. The website does not warrant the following:
1.1 The services from the website meets your requirement;
1.2 The accuracy, completeness, or timeliness of the service;
1.3 The accuracy, reliability of conclusions drawn from using the service;
1.4 The accuracy, completeness, or timeliness, or security of any information that you download from the website
2. The services provided by the website is intended for your reference only. The website shall be not be responsible for investment decisions, damages, or other losses resulting from use of the website or the information contained therein<
Proprietary Rights
You may not reproduce, modify, create derivative works from, display, perform, publish, distribute, disseminate, broadcast or circulate to any third party, any materials contained on the services without the express prior written consent of the website or its legal owner.

A Breakthrough in Combating Water, Surface and Airborne Pathogens. Crystal IS, a subsidiary of Asahi Kasei, has launched Klaran LA®—the newest addition to its industry-leading Germicidal UVC LED product line. Klaran LA® represent... READ MORE

Thanks to the special batwing optics, greenhouse owner can enlarge the distance between the single lamps without a decrease in light quality for the plants.   - Oslon Square Batwing extends ams OSRAMs comprehensive and market-leading port... READ MORE