The Board of Directors of Facebook endorsed the decision to repurchase by the company of its own shares of class A totaling up to $6 billion reported by the Commission on securities and exchange Commission (SEC).

The program will take effect in the first quarter of 2017 and does not have a fixed expiry. Its duration, as well as the actual number of shares that may be purchased by the Issuer will depend on a number of factors, including price, market conditions and the availability of alternative investment opportunities.

The initiative will be implemented in the framework of the strategy for the allocation of capital to business development in the long term, the company said.

Note that in most cases the redemption of shares indicates the excess cash, however, this measure is also often taken to prevent the fall in the market value of the company.

Recall, Facebook increased its net profit in the third quarter by 2.7 times – up to $2,379 billion compared to the same period last year to $896 million Increase in the profit was due to the advertising.

Total revenue rose 56% to $7,011 billion, compared to $4,501 billion in 2015. Revenue from advertising increased by 59% to $6,816 billion, While 84% of all advertising revenue was revenue from mobile advertising. Last year this indicator was equal to 78% of the total advertising revenues of $4,299 billion.

Facebook will redeem its shares at $6 billion 21.11.2016

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