Arbor Realty Trust Announces $50 Million Share Repurchase Program

Rhea-AI Summary

Arbor Realty Trust, Inc. (NYSE: ABR) announced a $50 million share repurchase program approved by its Board of Directors. This program allows the company to buy back its common stock through open market transactions and privately negotiated deals, aligning with SEC rules. There is no obligation to acquire a specific amount, as repurchases will depend on various factors, including stock performance and market conditions. Notably, the program has no time limit and may be modified or suspended at any time, indicating flexibility in capital management.

Positive

• Share repurchase program of $50 million enhances shareholder value.
• Potential for increased EPS due to reduced share count.

Negative

• No guaranteed amount of shares will be repurchased, leading to uncertainty.
• Market conditions could hinder the ability to execute the buyback plan.

UNIONDALE, N.Y., March 17, 2023 (GLOBE NEWSWIRE) -- Arbor Realty Trust, Inc. (NYSE: ABR), today announced that its Board of Directors has approved a share repurchase program authorizing the Company to repurchase up to $50 million of its outstanding common stock. At management's discretion, the shares may be acquired from time to time in the open market, through privately negotiated transactions or otherwise in compliance with Rule 10b-18 and Rule 10b5-1 under the Securities Exchange Act of 1934. The Board of Directors also authorized the Company to establish Rule 10b5-1 trading plans that permit the Company to repurchase its outstanding shares at times when it might otherwise be prevented from doing so.

This share repurchase program does not obligate the Company to acquire any particular amount of its outstanding shares and the timing and exact amount of repurchases will depend on various factors, including the performance of the Company’s stock price, general market and other conditions, applicable legal requirements and other factors. This share repurchase program has no time limit and may be suspended, modified or discontinued at any time.

About Arbor Realty Trust, Inc.

Arbor Realty Trust, Inc. (NYSE: ABR) is a nationwide real estate investment trust and direct lender, providing loan origination and servicing for multifamily, single-family rental (SFR) portfolios, and other diverse commercial real estate assets. Headquartered in New York, Arbor manages a multibillion-dollar servicing portfolio, specializing in government-sponsored enterprise products. Arbor is a leading Fannie Mae DUS® lender and Freddie Mac Optigo® Seller/Servicer, and an approved FHA Multifamily Accelerated Processing (MAP) lender. Arbor’s product platform also includes bridge, CMBS, mezzanine and preferred equity loans. Rated by Standard and Poor’s and Fitch Ratings, Arbor is committed to building on its reputation for service, quality, and customized solutions with an unparalleled dedication to providing our clients excellence over the entire life of a loan.

Safe Harbor Statement

Certain items in this press release may constitute forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Arbor can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from Arbor’s expectations include, but are not limited to, changes in economic conditions generally, and the real estate markets specifically, in particular, due to the severity and duration of the COVID-19 pandemic, continued ability to source new investments, changes in interest rates and/or credit spreads, and other risks detailed in Arbor’s Annual Report on Form 10-K for the year ended December 31, 2022 and its other reports filed with the SEC. Such forward-looking statements speak only as of the date of this press release. Arbor expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Arbor’s expectations with regard thereto or change in events, conditions, or circumstances on which any such statement is based.

Contact:

Arbor Realty Trust, Inc. Paul Elenio, Chief Financial Officer 516-506-4422 pelenio@arbor.com

FAQ

What is Arbor Realty Trust's stock repurchase program?

Arbor Realty Trust has authorized a share repurchase program for up to $50 million of its outstanding common stock.

When was the share repurchase program approved for ABR?

The share repurchase program was approved by the Board of Directors on March 17, 2023.

What are the reasons for Arbor Realty's share buyback?

The buyback aims to enhance shareholder value and may positively impact earnings per share.

Is there a time limit for the stock buyback by Arbor Realty Trust?

No, the buyback program has no time limit and can be modified or suspended at any time.

How will the share repurchase affect ABR's stock price?

Typically, share repurchases can lead to stock price appreciation by reducing the supply of shares.