United Therapeutics announces $1B ASR program

United Therapeutics (UTHR) announced that its Board of Directors has authorized the company to purchase up to $1B of United Therapeutics’ common stock. This program builds on United Therapeutics’ planned $400M paydown of its revolving credit facility in 2024, of which $100M was paid down during the first quarter of 2024. To enact the program, United Therapeutics will enter into an Accelerated Share Repurchase ASR agreement with Citibank (C) to repurchase $1B of the company’s common stock. “We’re in a unique position with a solid, growing, and profitable cash-generating business along with the potential to revolutionize the way end-stage organ disease is treated through an unlimited supply of tolerable, transplantable organs,” said Martine Rothblatt, Ph.D., Chairperson and Chief Executive Officer of United Therapeutics. “Having learned a great deal through the construction and commissioning of the world’s first clinical-scale designated pathogen-free facility to support our xenotransplantation efforts, we are confident in our ability to fund future facilities while balancing prudent capital allocation for all of our stakeholders. The current valuation of United Therapeutics’ stock makes repurchases of UTHR shares a solid investment and represents a chance to enhance long-term shareholder value.” Under the terms of the ASR agreement, on March 27 , United Therapeutics will make an aggregate upfront payment of $1B to Citi and will receive an initial delivery of shares representing approximately 80% of the total shares that would be repurchased under the ASR agreement measured based on the closing stock price of UTHR’s common stock on March 25 .