ACCELERATED SHARE REPURCHASE - ASR

It is a specific method in which a corporation can purchase again the outstanding shares of their company’s stocks. It is usually done by the corporation when they are buying their shares of stocks from a bank, or an investment bank. The banks actually borrows those shares from their share lenders or clients and sells them back to the company. The shares will actually be returned to the clients by purchasing in the open market, the purchase often happens in a period that can be a day up to several months.