Market Commentary and Intraday News
PharMerica rises as board approves buyback
324 days ago
(AP:NEW YORK) Shares of PharMerica Corp. climbed Tuesday after the pharmacy operator announced a $25 million share-buyback program.
THE SPARK: The company, under the program, could take almost 4 million of its approximately 29.5 million outstanding shares off the market. That is likely to drive up the worth of stakes held by shareholders. It can also serve as a defense wall against corporate takeovers.
In February Omnicare Inc. gave up on its hostile bid to acquire PharMerica. PharMerica had always opposed the transaction, which valued it at $457 million, or $15 per share. PharMerica, which is based in Louisville, Ky., said that the bid was too low.
SHARE ACTION: PharMerica's stock added 33 cents, or 3 percent, to $11.49 in midday trading. The shares have traded in a 52-week range of $9.03 to $16.45 and are down 28 percent for the year to date.
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