Light & Wonder Inc., a cross-platform provider of gaming content and casino gaming products, said its board approved a new three-year share repurchase program that runs through June 12, 2027, acquiring up to $1 billion of the group's outstanding common stock.
"As of June 13, 2024, we have exhausted US$750 million in share repurchase authorization under the Company's previous share repurchase program," Light & Wonder said in a filing in the U.S. on Thursday.
The prior plan saw the company acquire 11.2 million common shares, or 11.5% of its outstanding shares, at the start of the program. The average purchase price was $66.72 per share, which Wright & Wonder said was a nearly 28% discount to Thursday's close of $92.35.
Matt Wilson, CEO of Light & Wonder, said in an accompanying press release, "We are pleased to announce that the Board has approved a new, larger share repurchase program as we successfully execute our growth strategy and return meaningful capital to our shareholders."
"With strong operating performance continuing across our business, we remain on track to meet our $1.4 billion consolidated AEBITDA [adjusted earnings before interest, taxation, depreciation and amortization] target in 2025 while continuing to invest for the future," he added
"Given the continued momentum of the business and the net debt leverage ratio midway through the target range of 2.5 to 3.5 times on March 31, 2024, we have significant options regarding capital allocation," Group CFO Oliver Chow was quoted as saying
He added that the previous share repurchase plan was an "effective value-creating tool" and that the new program would allow the company to "provide additional value" to shareholders, highlighting the group's "commitment to driving profitable growth and gains after 2025.
In May, Light & Wonder reported first-quarter revenue growth of 12.8% year-over-year to $756 million, including strong sales in the Asian and Australian athletics game markets.
The group had net debt of just over $3.47 billion as of March 31.
BY: 홀짝게임