Broadcom to buy back up to $12 billion of shares

Chipmaker Broadcom Inc (AVGO.O) said on Thursday it would buy back up to $12 billion of its common stock, sending its shares up 4.5 percent to $250 in extended trading.

FILE PHOTO: A sign to the campus offices of chip maker Broadcom Ltd is shown in Irvine, California, U.S., November 6, 2017. REUTERS/Mike Blake/File photo

The company, which last month ended its efforts to acquire rival Qualcomm Inc (QCOM.O), said the repurchase program is effective immediately until the end of Broadcom’s fiscal year 2019.

Broadcom Inc239.43

AVGO.ONASDAQ

-0.89(-0.37%)

• AVGO.O
• QCOM.O

Broadcom moved back to the United States from Singapore earlier this month, following U.S. President Donald Trump’s decision to block its $117 billion offer to buy Qualcomm on national security concerns.

The San Jose, California based company has about 411 million outstanding shares and a market value of about $98.71 billion as of Thursday’s close.

(This version of the story corrects to say “end of Broadcom’s fiscal year 2019” instead of “end of its fiscal year on Nov. 3” in paragraph 2)