Oct 21 WebMD Health Corp, a health
information provider, will buy back all of the shares in the
company beneficially owned by activist investor Carl Icahn and
affiliates, the company said on Monday.
WebMD said it would pay $32.08 per share, the stock's
closing price on Friday, to buy back about 5.5 million shares.
It will pay $177.3 million in total to buy back the shares, the
company said in a statement.
Icahn and his affiliates held a stake of about 12 percent in
WebMD as of Sept. 17, according to the latest regulatory filing.
WebMD, which operates medical websites providing information
on health and diseases, said it would fund the buyback from its
own cash and cash equivalents.
The deal is expected to be completed on Monday.
In July, WebMD reported its first profit in six quarters due
to higher advertising revenue from its public websites.
After the buyback, WebMD expects to have about $550 million
in cash and cash equivalents and $652 million in convertible
Shares of the company were up slightly at $32.10 in
premarket trade on the Nasdaq.