Callaway Golf Company Announces New $50 Million Stock Repurchase Program

Rhea-AI Summary

Callaway Golf Company (NYSE: ELY) has authorized a stock repurchase program of up to $50 million. This replaces the previous program terminated due to the pandemic. The repurchases will occur based on market conditions and other strategic factors, compliant with SEC regulations. The program does not mandate a specific number of shares to be repurchased and will continue until completed or terminated. This move aims to enhance shareholder value and reflect the company's confidence in its financial position.

Positive

• Authorization of a $50 million stock repurchase program, indicating confidence in business stability.
• Replacement of pre-pandemic repurchase program signals a rebound strategy for enhancing shareholder value.

Negative

• None.

CARLSBAD, Calif., Dec. 13, 2021 /PRNewswire/ -- Callaway Golf Company (NYSE:ELY) (the "Company") announced today that the Board of Directors has authorized the Company to repurchase up to $50 million of the Company's common stock in open market or in private transactions. This new repurchase authorization replaces the pre-pandemic repurchase program, which has been terminated by the Board of Directors.  The Company will assess market conditions, buying opportunities and other factors from time to time and will make strategic repurchases as appropriate.  The repurchases will be made in compliance with Rule 10b-18 under the Securities Exchange Act of 1934, subject to market conditions, applicable legal requirements and other factors, and the repurchases will be made consistent with the terms of the Company's credit facilities, which define the amount of stock that can be repurchased.  The repurchase program does not require the Company to acquire a specific number of shares and it will remain in effect until completed or until terminated by the Board of Directors.

Forward-Looking Statements

This press release contains forward-looking statements as defined under the Private Securities Litigation Reform Act of 1995. These statements include the Company's intention to purchase shares of its common stock pursuant to a stock repurchase program, the anticipated timing, amount and impact of the stock repurchase program on the Company's financial statements and other statements regarding the Company's "expectations," "beliefs," "hopes," "intentions," "strategies," or the like. These statements are based upon current information and expectations and involve unknown risks, uncertainties, assumptions and other factors, many of which are out of the Company's control and difficult to forecast, which could cause actual results to differ materially from the forward-looking statements. For additional information concerning these and other risks and uncertainties that could affect these statements and the Company's business, see the Company's Annual Report on Form 10-K for the year ended December 31, 2020, as well as other risks and uncertainties detailed from time to time in the Company's reports on Forms 10-K, 10-Q and 8-K subsequently filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

About Callaway Golf Company
Callaway Golf Company (NYSE: ELY) is an unrivaled tech-enabled golf company delivering leading golf equipment, apparel and entertainment, with a portfolio of global brands including Callaway Golf, Topgolf, Odyssey, OGIO, TravisMathew and Jack Wolfskin. Through an unwavering commitment to innovation, Callaway manufactures and sells premium golf clubs, golf balls, golf and lifestyle bags, golf and lifestyle apparel and other accessories, and provides world-class golf entertainment experiences through Topgolf, its wholly-owned subsidiary. For more information please visit www.callawaygolf.com, www.topgolf.com, www.odysseygolf.com, www.OGIO.com, www.travismathew.com, and www.jack-wolfskin.com.

Contacts:	Brian Lynch
	Lauren Scott
	(760) 931-1771

 

 

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SOURCE Callaway Golf Company

FAQ

What is the new stock repurchase program amount for Callaway Golf Company?

Callaway Golf Company has authorized a stock repurchase program of up to $50 million.

Why has Callaway Golf Company initiated a stock buyback?

The buyback aims to enhance shareholder value and reflects the company's confidence in its financial stability post-pandemic.

What does the stock repurchase program mean for ELY shareholders?

The program is designed to potentially increase share value by reducing the number of outstanding shares, signaling company strength.

When was the stock repurchase program authorized?

The stock repurchase program was authorized on December 13, 2021.