Parexel Announces $150 Mln Accelerated Share Buyback With Goldman Sachs

(RTTNews) - Parexel International Corp. (PRXL), a bio/pharmaceutical services organization, has entered into an Accelerated Share Repurchase or ASR agreement with Goldman Sachs & Co. to repurchase an aggregate of $150 million of the company's common stock.

The ASR is part of the company's share repurchase program authorizing the repurchase of up to $150 million, as originally announced on June 2.

Under the ASR agreement, the company will receive about 2.3 million shares at the inception of the ASR.

The number of shares ultimately repurchased under the agreement will be determined upon final settlement.

The ASR will be funded through cash on hand, and/or existing credit facilities. As of March 31, the company had cash and cash equivalents of $299 million and availability under an existing line of credit of $290 million.

Josef von Rickenbach, Chairman and CEO of Parexel, said, "The accelerated share repurchase program represents an important step toward continuing to optimize the capital structure of the Company, and demonstrates our commitment to creating, enhancing, and returning value to shareholders."