Medtronic plans to redeem around $1.2 billion of the company's shares, according to an SEC filing.
Here are four things to know:
1. The company intends to redeem senior notes consisting of Medtronic Inc.'s $400 million aggregate principal amount of 5.6 percent senior notes, which are due in 2019. The transaction will also include the $765.6 million aggregate principal amount of 4.45 percent senior notes due the following year in 2020.
2. Medtronic plans to redeem the notes on April 27, 2018, as an opportunity to "deploy its capital efficiently, given the economic benefit of lower net interest expense and lower average cost of debt outstanding," according to the filing.
3. Overall, the company will repurchase a minimum of $1.2 billion of ordinary shares through the 2019 fiscal year, and the planned share repurchasing program will offset employee compensation dilution.
4. Medtronic's board of directors previously approved a $5 billion share repurchase program, and the company intends to fund the redemption of the notes and repurchase of the ordinary shares with cash and cash equivalents on hand, according to the filing.