Feb. 7 (Bloomberg) -- Sunoco Inc., the Philadelphia-based company that is exiting refining, rose for a second straight day after announcing plans to boost its dividend and buy back as much as 19.9 percent of its shares.
Sunoco increased 2 percent to $40.60 at 4:01 p.m. in New York and has risen 6 percent since announcing Feb. 2 the share- buying plan and an increase in its quarterly dividend to 20 cents a share from 15 cents. The shares have risen 19 percent this year.
Chief Executive Officer Lynn Elsenhans’ push to close or sell the company’s last two Pennsylvania-based refineries and focus on its logistics business has improved the company’s strategic position, Thomas Coleman and Steven Wood, two analysts at Moody’s Investors Service, said in a Feb. 3 report.
“With these steps, we view Sunoco as better-positioned from a leverage and operating perspective to focus on and support its core business,” Coleman and Wood said.
Elsenhans announced her departure Feb. 2. Chief Financial Officer Brian P. MacDonald, 46, will take over as chief executive and chairman.
--With assistance from Steven Church in Wilmington. Editors: Jessica Resnick-Ault, Charles Siler
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