Stryker increases dividend and share repurchase authorisation

Stryker has announced that its board of directors has authorised a quarterly dividend increase and an expansion of its share repurchasing initiative.

The medical technology company has increased its dividend by 25 percent to $0.265 (0.164 pounds) per share payable on January 31st 2013 to shareholders of record at the close of business on December 31st 2012.

Meanwhile, an additional $405 million of common stock will be repurchased by the organisation, with these buybacks occurring at such times and prices as the management of Stryker deems prudent.

According to Kevin Lobo, president and chief executive officer of Stryker, this latest capital allocation strategy is indicative of the company's considerable financial strength.

He added: "We are committed to a strategy that will help drive our sales and earnings growth while simultaneously returning capital to shareholders at meaningful and consistent levels."

This comes after the firm announced several changes to its executive leadership personnel and structure last month, including the appointment of David Floyd as its new orthopaedics group president.