Lotus Announces Stock Repurchase Plan
CAMBRIDGE, Mass. (AP) _ Lotus Development Corp., a developer of applications software for personal computers and information services, says it will repurchase up to 15 percent of its outstanding shares of common stock.
″This repurchase program reflects our ongoing commitment to enhance shareholder value,″ Jim P. Manzi, Lotus president and chief executive officer, said in a statement Monday. ″We see this as a strategic opportunity to invest in the common stock of our company.″
The repurchase of approximately 6.7 million shares will be made intermittently in the open market based on availability of stock at prices that are attractive to the company. Some of the shares bought will be designated for employee stock option and purchase programs.
Lotus stock rose $1 a share to $18 in national over-the-counter trading Monday.
Lotus, based in Cambridge, has undertaken two previous stock repurchase programs. Those two programs, each aimed at acquiring up to 10 percent of the company’s outstanding shares, were initiated in February and August 1986.