Semtech Corp. said its board approved an accelerated stock repurchase program Wednesday where Goldman, Sachs & Co. will purchase $150 million-worth of the company's common stock.


The company said the deal was private and it did not divulge specific terms of the sale except to say that based on May 29th's closing price, the purchase would account for 14 percent of the Camarillo-based company's market cap.


One third of the repurchased shares will be subject to a collar provision that establishes the minimum and maximum purchase price adjustments, adding that the repurchase will be funded with existing cash.


"Our strong balance sheet and operating cash flows have enabled us to use this accelerated stock repurchase program as a mechanism to return value to our shareholders," Chief executive Mohan Maheswaran, said.


The announcement comes less than a week after the semiconductor maker said it would pay about $62 million for corrections in earnings statements relating to stock options issued to executives from 1996 through 2006.


Shares in Semtech gained 50 cents, or 3.2 percent, immediately after the announcement of the buyback was made. Shares closed up 11 cents to $15.35 Wednesday in trading on the Nasdaq.


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