Boston, MA 10\/15\/2013 (wallstreetpr) – The announcement by Sirius XM Radio Inc. (NASDAQ:SIRI) to buyback an additional $2 billion worth of shares through its current cash reserves and future earnings, as well as future borrowing, was welcomed by the investors. The stock reached a closing price of $3.93 (a rise of 1.29%) very near to its 52 week high of $4 reached on October 8, 2013 even before the announcement was made. The investors have faith that the company will fulfil its promise this time too. Sirius has already acquired $1.6 billion worth of shares after announcing a similar buyback of $2 billion ten months back. The company was also able to pick up these shares at a good average price of $3.36. Analysts are also not worried about the effects of this announcement as this will not have any effect on the revenues and earnings. The company is well set to maintain its leverage within target of 3.5x.<\/p>\n
Several investors, particularly Liberty Media\u00a0(NASDAQ:LMCA), are laughing all the way to the bank. Liberty Media extended a loan of $530 million to Sirius in 2009 to tide over its difficult phase during the financial meltdown. Liberty tied up the loan with a caveat that Sirius will not adopt any poison pill plan to thwart its acquisition plans of Sirius after a three year standstill. With the completion of the standstill period, Liberty was quick to acquire the U.S.\u2019s sole provider of satellite radio services, completing the process in January 2013. The angel loan is now worth billions in just 4 years.<\/p>\n
Sirius also has put the year 2009 behind it, and is actively pursuing a path for rapid advancement. It is looking at acquisitions to expand both its footprint outside the U.S., and also to upgrade its offerings from current content of news and talk shows. It has recently acquired a competitor\u2019s connected car services unit at $530 million. It is trying to develop revenue streams outside the U.S. and may announce new acquisitions soon.<\/p>\n","protected":false},"excerpt":{"rendered":"
Boston, MA 10\/15\/2013 (wallstreetpr) – The announcement by Sirius XM Radio Inc. (NASDAQ:SIRI) to buyback an additional $2 billion worth of shares through its current […]<\/p>\n","protected":false},"author":2,"featured_media":10069,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"twitter_2902945987_2902945987":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[2236],"tags":[3398,3397,3320,3318,653,29,3176,3175],"stock_ticker":[],"class_list":["post-10068","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-liberty-media","tag-liberty-media-nasdaqlmca","tag-lmca","tag-nasdaqlmca","tag-nasdaqsiri","tag-siri","tag-sirius-xm-radio-inc","tag-sirius-xm-radio-inc-nasdaqsiri","entry"],"acf":[],"yoast_head":"\n