Business software provider Tibco Software Inc. said Thursday that it will buy back up to $300 million of its stock.
With $350 million of cash on its balance sheet, the company felt comfortable boosting a buyback program aimed at rewarding shareholders, said Matt Langdon, vice president of investor relations.
Langdon said the company has repurchased roughly $1 billion of its stock over the last six years.
The new buyback program replaces an existing one that authorized the company to buy $300 million in stock. Tibco had purchased all but $38 million under that program.
Companies often buy back their stock to increase the value of their remaining shares. Also, when fewer shares are on the market, the measure of earnings per share improves.
Shares fell 45 cents to $32 in aftermarket trading. The stock rose $1.44, or nearly 5 percent, to close at $32.45 in the regular session.