8-K/AOther EventsExhibits & Filings

Cencora, Inc. 8-K/A Report, Corporate Update (Aug 9, 2013)

Filed August 9, 2013For Securities:COR

Summary

Cencora, Inc. (formerly AmerisourceBergen Corporation) announced on August 8, 2013, a significant expansion of its capital return strategy through an authorized $750 million share repurchase program. This new authorization, effective immediately, supplements the existing $446.1 million remaining from a previous program, effectively increasing the total authorized amount for share buybacks to $1.2 billion. This move signals strong confidence from the company's management and Board of Directors in the company's financial health and future prospects, as they are willing to invest a substantial amount in repurchasing their own stock.

Key Highlights

  • 1New $750 million share repurchase program authorized by the Board of Directors, effective immediately.
  • 2Total authorized amount for share repurchases now stands at $1.2 billion, combining the new authorization with the remaining $446.1 million from a prior program.
  • 3The company has already repurchased $401.1 million of its stock in fiscal year 2013.
  • 4The announcement indicates management's confidence in the company's financial position and value.
  • 5This expanded buyback program allows for a significant return of capital to shareholders.
  • 6The news release detailing the buyback program is filed as an exhibit.

Frequently Asked Questions

The primary purpose of this 8-K filing is to report the announcement of a new, substantial share repurchase program authorized by Cencora's (formerly AmerisourceBergen Corporation) Board of Directors.

Cencora has authorized a new $750 million share repurchase program. Combined with the remaining $446.1 million from a previous authorization, the total amount available for share repurchases is $1.2 billion.

Yes, Cencora has already spent $401.1 million to repurchase its common stock in the fiscal year 2013, prior to this new authorization.

A significant share repurchase program typically indicates that the company's management believes its stock is undervalued and that it has sufficient cash flow and financial strength to return capital to shareholders while still investing in its business.