Universal Insurance Holdings (NYSE:UVE) has announced a share-repurchase program with a twist. The company has closed the purchase of 2 million shares held by its former CEO, Bradley Meier, and agreed to buy back an additional 2 million from him in the near future.

Universal bought the stake for $4.02 per share, for a total of $8.04 million. It will pay the same price for the second tranche, in a purchase that will be effected before June 1 of this year.

The insurance conglomerate bought those shares at a notable discount; the company's most recent closing price was $4.88.

According to the company, the two repurchase actions will reduce the number of outstanding shares by nearly 10%.