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It's called a "stock buyback." These are covered by SEC Rule 10b-18, which says: the issuer or affiliate must purchase all shares from a single broker or deal during a single day. issuers can't buy stock on the first trade of the day, or close to the end of it. issuers must repurchase at a price that doesn't exceed the highest independent bid or the last transaction price quoted. the issuer can't purchase more than 25 percent of the stock's average daily volume.

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16y ago

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