Express Scripts Announces Accelerated Share Repurchase Transaction

25 Feb, 2016, 20:05 ET from Express Scripts Holding Company

ST. LOUIS, Feb. 25, 2016 /PRNewswire/ -- Express Scripts Holding Company (Nasdaq: ESRX) (the "Company or "Express Scripts") announced that it has entered into an accelerated share repurchase (ASR) agreement with Morgan Stanley & Co. LLC. Under the terms of the ASR agreement the Company will receive an aggregate initial delivery of approximately 32.1 million shares of the Company's common stock in exchange for a prepayment of $2.8 billion. The final number of shares to be repurchased will be based on the average of the daily volume-weighted average prices of the Company's common stock during the term of the transaction, less a discount and subject to adjustments pursuant to the terms and conditions of the ASR agreement (including a cap on the price paid per share by the Company in the event of a substantial increase in the volume-weighted average price of the Company's common stock during the term of the transaction). At settlement, under certain circumstances, Morgan Stanley may be required to deliver additional shares of common stock to the Company, or under certain circumstances, the Company may be required to deliver shares of common stock or to make a cash payment, at its election, to Morgan Stanley. The final settlement of the transaction under the ASR agreement is expected to occur during the third quarter of 2016.

About Express Scripts

Express Scripts puts medicine within reach of tens of millions of people by aligning with plan sponsors, taking bold action and delivering patient-centered care to make better health more affordable and accessible.

Headquartered in St. Louis, Express Scripts provides integrated pharmacy benefit management services, including network-pharmacy claims processing, home delivery pharmacy care, specialty pharmacy care, specialty benefit management, benefit-design consultation, drug utilization review, formulary management, and medical and drug data analysis services.  Express Scripts also distributes a full range of biopharmaceutical products and provides extensive cost-management and patient-care services.

SAFE HARBOR STATEMENT

This press release may contain forward-looking statements, including, but not limited to, statements related to the Company's plans, objectives, expectations (financial or otherwise) or intentions. Actual results may differ materially from those projected or suggested in any forward-looking statements. Factors that may impact these forward-looking statements can be found in Item 7 "Management's Discussion and Analysis of Financial Condition and Results of Operations" and Item 1A "Risk Factors" in the Company's Annual Report on Form 10-K filed with the SEC on February 16, 2016. A copy of this document can be found at the Investor Information section of Express Scripts' web site at http://www.express-scripts.com/corporate.

The Company does undertake any obligation to release publicly any revisions to such forward-looking statements to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.

 

SOURCE Express Scripts Holding Company



RELATED LINKS

http://www.express-scripts.com