Axalta Coating Systems Announces $625 Million Increase to its Share Repurchase Program Authorization

Rhea-AI Summary

Axalta (NYSE: AXTA) announced an increase in its share repurchase program by $625 million, raising the total authorization to $1.3 billion. To date, approximately $500 million of shares have been repurchased. Axalta plans to continue repurchases based on market conditions, cash flow, and other capital needs, without a set expiration date for the program. The company emphasizes that future buybacks will rely on market factors and internal financial health.

Positive

• Increase in share repurchase program to $1.3 billion enhances shareholder value.
• Approximately $500 million already repurchased, reflecting strong capital allocation strategy.

Negative

• None.

PHILADELPHIA, April 21, 2021 /PRNewswire/ -- Axalta (NYSE: AXTA), a leading global coatings company, today announced that its Board of Directors authorized an increase in its common share repurchase program of $625 million, bringing the total size of the program to $1.3 billion, of which Axalta has already purchased approximately $500 million. Axalta expects that share repurchases will continue to be made from time to time in the open market or through privately negotiated transactions, or otherwise, subject to applicable laws, regulations and approvals. The pace of repurchase activity will be subject to the discretion of Axalta, and will be based upon market conditions and other capital allocation decisions, while incorporating key factors including cash balances and needs of the business, cash flow from operations, stock price and acquisition opportunities. There is no expiration date on the share repurchase program.

Cautionary Statement Concerning Forward-Looking Statements

This release may contain certain forward-looking statements regarding Axalta within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including those relating to the timing, amount or pace of any future share repurchases. All of these statements are based on management's expectations as well as estimates and assumptions prepared by management that, although they believe to be reasonable, are inherently uncertain. These statements involve risks and uncertainties, including, but not limited to, economic, competitive, governmental and technological factors outside of Axalta's control, including the effects of COVID-19, that may cause cash flow and cash needs, stock price and acquisition opportunities, as well as applicable laws, regulations and approvals and market conditions, to differ materially. More information on potential factors that could affect Axalta is available in "Forward-Looking Statements," "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" within Axalta's most recent Annual Report on Form 10-K, and in other documents that we have filed with, or furnished to, the U.S. Securities and Exchange Commission. Axalta undertakes no obligation to update or revise any of the forward-looking statements contained herein, whether as a result of new information, future events or otherwise.

About Axalta Coating Systems

Axalta is a global leader in the coatings industry, providing customers with innovative, colorful, beautiful and sustainable coatings solutions. From light vehicles, commercial vehicles and refinish applications to electric motors, building facades and other industrial applications, our coatings are designed to prevent corrosion, increase productivity and enhance durability. With more than 150 years of experience in the coatings industry, the global team at Axalta continues to find ways to serve our more than 100,000 customers in over 130 countries better every day with the finest coatings, application systems and technology. For more information visit axalta.com and follow us @axalta on Twitter.

Contact
Christopher Mecray
D +1 215 255 7970
Christopher.Mecray@axalta.com

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SOURCE Axalta Coating Systems Ltd.

FAQ

What is the new total for Axalta's share repurchase program?

Axalta's share repurchase program has been increased to a total of $1.3 billion.

How much has Axalta spent on share repurchases to date?

To date, Axalta has purchased approximately $500 million in shares.

When does Axalta's share repurchase program expire?

There is no expiration date on Axalta's share repurchase program.

What factors will influence Axalta’s share repurchase pace?

The pace of repurchase activity will depend on market conditions, cash flow, stock price, and acquisition opportunities.

What is the purpose of Axalta's share repurchase program?

The purpose of the program is to enhance shareholder value through strategic capital allocation.