AOL (NYSE:AOL) said on Friday that it will repurchase $550 million of its shares.
The share buyback follows word that the company’s previously announced Dutch tender offer generated a cool response from shareholders, Fox Business noted.
The struggling Internet pioneer said that it had repurchased just $8.8 million in shares under the tender offer, which had authorized the purchase of up to $400 million in shares.
The company announced that it would buy back 292,435 shares at a price of $30 a share after the Dutch auction’s close.
AOL shares rose more than 3% in Friday afternoon trading.
The new share buyback comes as the company still has $40.8 million left unspent from an August 2011 share repurchase authorization.
Company officials said the share repurchase programs and Dutch tender offer were ways AOL planned to return to shareholders the financial gain from the Microsoft deal.