CHANHASSEN, Minn. (AP) -- Life Time Fitness Inc. said Monday that it plans to buy back up to $200 million shares of its common stock, replacing a $60 million fund that expired on Saturday.
Under the old buyback program, the gym operator spent $50 million to repurchase 1.1 million shares.
The new buyback will end once the company completes $200 million in repurchases or on Aug. 16, 2015, whichever happens first.
Buybacks can offset the impact of selling stock, make shareholders' existing holdings more valuable and boost earnings per share.
Life Time has 106 health clubs under the Life Time Fitness and Life Time Athletic brands in the U.S. and Canada.
Its stock added 47 cents, nearly 1 percent, to $50.42 in morning trading. Shares had added 1.5 percent this year.