Microsoft is planning to buyback up to $40 billion of its own stock, and raised its quarterly dividend by 18 per cent, the software maker said today.
Microsoft's shares rose 5 per cent after the software maker said it would pay a quarterly dividend of 13 cents a share, up from 11 cents a share.
The company also said that its board authorized debt financings from time to time of up to $6 billion. It intends to use the proceeds from any debt financings for general corporate purposes.
The company, said it has completed its previous $40 billion stock repurchase program.
"These announcements illustrate our confidence in the long-term growth of the company and our commitment to returning capital to our shareholders," said Chris Liddell, chief financial officer of Microsoft.
Shares of Microsoft climbed to $26.49 in pre-market trade today, after closing on Friday at $25.16 on Nasdaq.
Reuters