Century City engineering and construction firm Aecom on Aug. 9 announced the repurchase of $150 million worth of shares, the initial action under a $1 billion share repurchase authorization from the board last September.

According to the announcement, the $150 million repurchase will be conducted through an agreement with JPMorgan Chase Bank in which Aecom will pay JPMorgan up front and immediately receive a portion of the shares. At the end of the agreement term in first quarter 2019, the amount of shares remaining to be transferred will be determined through a daily volume average weighted price formula.

The transaction will reduce the total number of Aecom shares outstanding, thereby increasing the price per share; as of market close on Aug. 9, Aecom had roughly 160 million shares outstanding.

“We are executing share repurchases as a result of the existing momentum underpinning our business and our confidence in its long-term trajectory,” Aecom Chief Executive Michael Burke said in the announcement. “Our strong business fundamentals create a compelling opportunity to redirect cash flow to repurchases, as part of our commitment to driving substantial value for Aecom and our shareholders.”

Aecom’s per share price closed Aug. 9 down 20 cents to $33.73, a drop of 0.6 percent. At that closing price, Aecom’s $150 million share repurchase agreement would result in the purchase of 4.45 million shares.

Aecom ranked No. 24 on the Business Journal’s recent list of largest publicly traded companies as ranked by market capitalization. The firm’s market cap on that list, as of close on June 29, was $5.3 billion; its 2017 revenue was $18.2 billion.

Economy, education, energy and transportation reporter Howard Fine can be reached at [email protected]. Follow him on Twitter @howardafine.