IFF · 8-K · 20260804PR000028

Capital Allocation and Repurchases

INTERNATIONAL FLAVORS & FRAGRANCES INC · 2026-08-04 · Importance 71 · Surprise 60 · In source text

IFF plans to use more than $1 billion of net Food Ingredients divestiture proceeds to reduce outstanding debt while maintaining a target net-debt-to-EBITDA leverage range of 2.0x to 2.5x. The Board authorized a $2.5 billion share repurchase program, including a $500 million accelerated share repurchase planned for the second half of 2026. The remaining $2.0 billion is expected to be executed after the divestiture closes, with completion targeted by the end of 2027 and funding from operating cash flow, short-term debt, and divestiture proceeds.

Key facts

• The Board of Directors authorized an enhanced share repurchase authorization with a total value of $2.5 billion, which included approximately $400 million remaining on its prior authorization. source
• The remaining $2.0 billion of the $2.5 billion share repurchase authorization is expected to be executed following the closing of the Food Ingredients disposal group divestiture, with expected completion by the end of 2027. source
• Under the repurchase program, the Board authorized an accelerated share repurchase of $500 million, which the Company expects to execute in the second half of 2026. source
• The Company plans to fund repurchases from cash provided by operating activities, short-term debt and net cash proceeds provided by the divestiture of the Food Ingredients disposal group. source

Impact estimates