Global mattress giant Tempur Sealy International has announced that its management has increased the authorisation under the Company's share repurchase program by an additional $200m (£138.3m).
Since the program was announced in February earlier this year, the Company has repurchased approximately 3.4 million shares for a total cost of approximately $195m (£134.8m). After this increased authorisation, the Company has approximately $205m (£141.8m) remaining available for future share repurchases.
Tempur Sealy International, Inc. chairman and CEO Scott Thompson commented: "The Company generates strong free cash flow and this new authorisation is consistent with our previously disclosed long-term strategy to manage our capital structure and, when appropriate, return excess cash to our shareholders."
A share repurchase is a program by which a company buys back its own shares from the marketplace, usually because management thinks the shares are undervalued, reducing the number of outstanding shares.