DirecTV to Buy Back Shares From GM

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DirecTV Group Inc. said Monday it agreed to buy back 100 million of its shares from General Motors Corp.’s pension funds for $1.55 billion, or $15.50 a share.


On Friday, shares of DirecTV closed at $15.68.


The transaction is expected to be completed on March 3. After the close, GM pension funds will hold approximately 115 million shares of the El Segundo-based satellite television company’s common stock, which represents less than 10 percent of the outstanding shares.


In February, DirecTV announced its board had authorized a share buyback program of up to $3 billion. GM acquired its stake in 2003 when DirecTV, then known as Hughes Electronics, was owned by the Detroit-based car maker.


DirecTV rose 0.8 percent to settle at $15.80 on Monday.

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