Amgen Inc., the world's largest biotechnology company, gained the most in 17 months after the company said it's planning a $5 billion share repurchase as part of a push to return profit to stockholders.
Amgen rose 5.9 percent Monday to $58.43 at the close in New York, the biggest single-day increase since June 2010. The shares of the Thousand Oaks, California-based drugmaker have gained 6.4 percent this year.
The modified Dutch auction, amounting to about 10 percent of the company, is part of a current $10 billion buyback program, Amgen said in a regulatory filing today. The drugmaker will raise debt to help fund the program, part of a commitment to return at least 60 percent of net income to investors, said Eric Schmidt, an analyst with Cowen & Co. in New York.
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