Microsoft raised its quarterly dividend by 8 percent; plans $40 billion buyback

Microsoft Corp on Tuesday raised its quarterly dividend by 8 percent and said it would buy back up to $40 billion as part of a new share repurchase programme.The company raised its dividend to 39 cents per share, up 3 cents from the previous quarter.The technology giant last raised its dividend in September last year.The new buyback programme has no expiration date and may be terminated at any time, the company said on Tuesday.The company also said it was on track to complete its current $40 billion stock repurchase programme by Dec. 31.Microsoft's shares were up 1 percent at $57.41 in extended trading on Tuesday.Microsoft was founded on 4 April, 1975 in Alburquerque, New Mexico by Paul Allen and Bill Gates. The company's operating income exceeded $20 billion in 2016 and revenue topped $85 billion. Company founder Bill Gates has a 3 percent stake.Microsoft's IPO was announced in 1986 and the rise in share prices is estimated to have created 12,000 millionaires at the company.The company's most recent acquisition, LinkedIn, involved a $26 billion deal. Shares were bought at $196, a 50 percent premium.The company licenses, supports and sells computer software, consumer electronics, personal computers and services.With inputs from Reuters