GXO Announces Share Repurchase Authorization
GXO Logistics (NYSE: GXO) has announced that its Board of Directors has authorized a share repurchase program of up to $500 million of its common stock. The program allows for shares to be repurchased through various methods, including a 10b5-1 trading plan, open market purchases, and privately negotiated transactions.
The company plans to fund the repurchases using existing cash, borrowings from its revolving credit facility, and other financing sources. The timing and volume of repurchases will be influenced by factors such as price, business conditions, market conditions, and alternative investment opportunities. The authorization is effective immediately but does not obligate GXO to repurchase any specific number of shares and can be suspended or discontinued at any time.
GXO Logistics (NYSE: GXO) ha annunciato che il suo Consiglio di Amministrazione ha autorizzato un programma di riacquisto di azioni per un massimo di 500 milioni di dollari delle sue azioni ordinarie. Il programma consente il riacquisto di azioni tramite vari metodi, tra cui un piano di trading 10b5-1, acquisti nel mercato aperto e transazioni negoziate privatamente.
L'azienda prevede di finanziare i riacquisti utilizzando liquidità esistente, prestiti dalla sua linea di credito rotativa e altre fonti di finanziamento. Il momento e il volume dei riacquisti saranno influenzati da fattori come il prezzo, le condizioni aziendali, le condizioni di mercato e opportunità di investimento alternative. L'autorizzazione è immediatamente efficace, ma non obbliga GXO a riacquistare un numero specifico di azioni e può essere sospesa o interrotta in qualsiasi momento.
GXO Logistics (NYSE: GXO) ha anunciado que su Junta Directiva ha autorizado un programa de recompra de acciones de hasta 500 millones de dólares de sus acciones ordinarias. El programa permite la recompra de acciones a través de varios métodos, incluyendo un plan de negociación 10b5-1, compras en el mercado abierto y transacciones negociadas de forma privada.
La compañía planea financiar las recompras utilizando efectivo existente, préstamos de su línea de crédito rotativa y otras fuentes de financiamiento. El momento y el volumen de las recompras se verán influenciados por factores como el precio, las condiciones comerciales, las condiciones del mercado y oportunidades de inversión alternativas. La autorización es efectiva de inmediato, pero no obliga a GXO a recomprar un número específico de acciones y puede ser suspendida o interrumpida en cualquier momento.
GXO 물류 (NYSE: GXO)는 이사회가 최대 5억 달러의 보통주에 대한 자사주 매입 프로그램을 승인했다고 발표했습니다. 이 프로그램은 10b5-1 거래 계획, 공개 시장 구매 및 비공식적으로 협상된 거래를 포함한 다양한 방법으로 주식을 재매입할 수 있도록 허용합니다.
회사는 기존 현금, 회전 신용 시설에서의 차입금 및 기타 자금 조달원을 사용하여 재매입 자금을 조달할 계획입니다. 재매입의 시기와 규모는 가격, 사업 조건, 시장 조건 및 대체 투자 기회와 같은 요인의 영향을 받을 것입니다. 이 승인은 즉시 효력이 있으며, GXO가 특정 수의 주식을 재매입할 의무가 없으며 언제든지 중단되거나 종료될 수 있습니다.
GXO Logistics (NYSE: GXO) a annoncé que son Conseil d'Administration a autorisé un programme de rachat d'actions pouvant aller jusqu'à 500 millions de dollars de ses actions ordinaires. Le programme permet le rachat d'actions par divers moyens, y compris un plan de négociation 10b5-1, des achats sur le marché ouvert et des transactions négociées en privé.
L'entreprise prévoit de financer les rachats en utilisant des liquidités existantes, des emprunts de sa ligne de crédit renouvelable et d'autres sources de financement. Le moment et le volume des rachats seront influencés par des facteurs tels que le prix, les conditions commerciales, les conditions de marché et les opportunités d'investissement alternatives. L'autorisation est effective immédiatement, mais n'oblige pas GXO à racheter un nombre spécifique d'actions et peut être suspendue ou interrompue à tout moment.
GXO Logistics (NYSE: GXO) hat bekannt gegeben, dass der Vorstand ein Aktienrückkaufprogramm von bis zu 500 Millionen Dollar für seine Stammaktien genehmigt hat. Das Programm erlaubt den Rückkauf von Aktien durch verschiedene Methoden, einschließlich eines 10b5-1-Handelsplans, Käufen am offenen Markt und privat ausgehandelten Transaktionen.
Das Unternehmen plant, die Rückkäufe mit vorhandenen Mitteln, Krediten aus seiner revolvierenden Kreditfazilität und anderen Finanzierungsquellen zu finanzieren. Der Zeitpunkt und das Volumen der Rückkäufe werden von Faktoren wie Preis, Geschäftslage, Marktbedingungen und alternativen Investitionsmöglichkeiten beeinflusst. Die Genehmigung tritt sofort in Kraft, verpflichtet GXO jedoch nicht dazu, eine bestimmte Anzahl von Aktien zurückzukaufen, und kann jederzeit ausgesetzt oder eingestellt werden.
- Authorization of substantial $500 million share buyback program
- Multiple funding sources available including existing cash and credit facility
- Flexibility in implementation through various repurchase methods
- Potential increase in debt if funded through credit facility
- Reduction in cash reserves if funded through existing cash
- No commitment to specific repurchase amount or timeline
Insights
The announcement of a
The program's structure offers notable flexibility through multiple execution channels, including 10b5-1 trading plans and open market purchases. This multi-channel approach allows management to optimize the timing and pricing of repurchases while maintaining compliance with regulatory requirements. The decision to fund the buyback through a combination of existing cash, revolving credit facility, and potential alternative financing demonstrates a balanced approach to capital structure management.
From a strategic perspective, this move carries several implications:
- Enhanced earnings metrics: The reduction in outstanding shares will likely lead to EPS accretion, potentially improving key performance metrics watched by institutional investors.
- Capital structure optimization: The use of debt financing for buybacks can optimize the company's weighted average cost of capital, particularly in the current interest rate environment.
- Market positioning: As the largest pure-play contract logistics provider, this buyback signals financial strength and operational stability in a sector typically characterized by high capital requirements and thin margins.
The discretionary nature of the authorization provides management with strategic flexibility to adjust the pace and scale of repurchases based on market conditions and alternative investment opportunities. This flexibility is particularly valuable given the dynamic nature of the logistics sector and potential M&A opportunities that may arise.
GREENWICH, Conn., Feb. 18, 2025 (GLOBE NEWSWIRE) -- GXO Logistics, Inc. (NYSE: GXO), the world’s largest pure-play contract logistics provider, today announced that its Board of Directors has authorized the Company to repurchase up to
The share repurchase authorization permits shares to be repurchased from time to time in management’s discretion, through a variety of methods, including a 10b5-1 trading plan, open market purchases, privately negotiated transactions or otherwise, and is effective immediately. The timing and number of shares repurchased will depend on a variety of factors, including price, general business and market conditions, alternative investment opportunities, and funding considerations. GXO intends to fund the repurchases from existing cash, borrowings on GXO’s revolving credit facility and/or other financing sources. The share repurchase authorization does not obligate GXO to repurchase any specific number of shares and may be suspended or discontinued at any time.
About GXO
GXO Logistics, Inc. (NYSE: GXO) is the world’s largest pure-play contract logistics provider and is benefiting from the rapid growth of ecommerce, automation and outsourcing. GXO is committed to providing a diverse, world-class workplace for more than 150,000 team members across more than 1,000 facilities totaling approximately 200 million square feet. The company partners with the world’s leading blue-chip companies to solve complex logistics challenges with technologically advanced supply chain and ecommerce solutions, at scale and with speed. GXO corporate headquarters is in Greenwich, Connecticut, USA. Visit GXO.com for more information and connect with GXO on LinkedIn, X, Facebook, Instagram and YouTube.
Forward-looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. In some cases, forward-looking statements can be identified by the use of forward-looking terms such as “plans,” “continue,” “will,” or the negative of these terms or other comparable terms. However, the absence of these words does not mean that the statements are not forward-looking. Unknown or unpredictable factors could cause actual events to differ materially from the forward-looking statements expressed herein.
Media contact
Matthew Schmidt
+1 203-307-2809
matt.schmidt@gxo.com
FAQ
How much is GXO's new share repurchase authorization worth?
When does GXO's share repurchase program begin?
How will GXO fund its $500 million share repurchase program?
What methods will GXO use to repurchase shares?
Is GXO obligated to repurchase the full $500 million in shares?
