Are Tides Changing For Herbalife After Massive Sell-off?
By M.E. Garza:
Shares of Herbalife Ltd.(HLF) began showing life on Friday after brutal week of selling.The company announced and then disclosed through and 8K filing that it had entered into an agreement with Merrill Lynch International to repurchase $427.9 million of Herbalife's common shares as part of the Company's previously announced share repurchase program. Shares that are repurchased will be retired.Under the terms of the repurchase agreement, Herbalife will pay $427.9 million on May 4, 2012 from the Company's cash on hand and from borrowings under the Company's senior secured revolving credit facility. The transaction is expected to be completed by no later than July 2012.Earlier in the week shares had imploded following some very steady growth since the start of the year. Investors sold off stock in the nutrition and weight loss company following a series of questions from David Einhorn during a conference call regarding why theComplete Story »