By Ben Fox Rubin
Herbalife Ltd. (HLF) said it entered into a deal with Bank of
America Merrill Lynch to repurchase $266 million of its stock.
The company late last month said it would terminate its
quarterly dividend and instead use that cash to buy back additional
shares.
The transaction is expected to be completed no later than the
end of the second quarter. Shares that are repurchased will be
retired, the company said in a news release.
The company sells a range of products, including weight-loss
shakes and fitness supplements, operating through a wide global
network of independent distributors.
Herbalife has been embroiled in a public battle with Pershing
Square Capital Management LP's William Ackman, who has attempted to
convince other investors that Herbalife is a pyramid scheme,
accusations the company has strongly denied.
Write to Ben Fox Rubin at ben.rubin@wsj.com
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