TRxADE HEALTH, INC. Announces Resumption of Modified Stock Repurchase Program
TRxADE HEALTH (NASDAQ:MEDS) has resumed its stock repurchase program, allowing for the buyback of up to 100,000 shares. Initially approved in May 2021, this program was paused due to an ongoing offering that has now been terminated. The repurchase will be funded using the company’s working capital, which stood at approximately $3.6 million as of September 30, 2021. The timing and volume of repurchases will depend on market conditions and other business factors.
- Resumption of stock repurchase program allows for the buyback of up to 100,000 shares.
- Company has approximately $3.6 million in cash for funding the buyback.
- Repurchasing shares can enhance shareholder value and potentially support stock price.
- No guarantees on the exact number or value of shares repurchased, creating uncertainty for shareholders.
TAMPA, FL / ACCESSWIRE / December 13, 2021 / TRxADE HEALTH, INC. (NASDAQ:MEDS), a health services IT company focused on digitalizing the retail pharmacy experience by optimizing drug procurement, the prescription journey and patient engagement in the U.S., today announced that its Board of Directors has authorized the resumption of the previously disclosed stock repurchase program, which was modified by the Board of Directors to allow for the repurchase of up to a maximum of 100,000 shares of the Company's common stock, originally approved in May 2021, which was paused while the Company's ‘at-the-market' offering was ongoing, and which ‘at-the-market' offering was recently terminated. There is no time frame for the repurchase program, and such program will remain in place until a maximum of 100,000 shares of the Company's common stock has been repurchased or until such program is discontinued by the Board of Directors.
Under the stock repurchase program, shares may be repurchased from time to time in the open market or through negotiated transactions at prevailing market rates, or by other means in accordance with federal securities laws. Repurchases will be made at management's discretion at prices management considers to be attractive and in the best interests of both the Company and its stockholders, subject to the availability of stock, general market conditions, the trading price of the stock, alternative uses for capital, and the Company's financial performance. Open market purchases will be conducted in accordance with the limitations set forth in Rule 10b-18 of the Securities Exchange Act of 1934 and other applicable legal requirements. Repurchases may also be made under a Rule 10b5-1 plan, which would permit shares to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws.
The repurchase program may be suspended, paused, terminated or modified at any time for any reason, including market conditions, the cost of repurchasing shares, the availability of alternative investment opportunities, liquidity, and other factors deemed appropriate. These factors may also affect the timing and amount of share repurchases. The repurchase program does not obligate the Company to purchase any particular number of shares. There is no guarantee as to the exact number or value of shares that will be repurchased by the Company, if any.
The repurchase program will be funded using the Company's working capital. As of September 30, 2021, the Company had cash of approximately
All shares purchased by the Company under the stock repurchase program will be retired and returned to treasury.
About TRxADE HEALTH, INC.
TRxADE HEALTH (NASDAQ:MEDS) is a health services IT company focused on digitalizing the retail pharmacy experience by optimizing drug procurement, the prescription journey and patient engagement in the U.S. The Company operates the TRxADE drug procurement marketplace serving a total of 12,950+ members nationwide, fostering price transparency and under the Bonum Health brand, offering patient centric telehealth services. For info on TRxADE HEALTH, please visit the Company's IR website at investors.trxadegroup.com.
Forward-Looking Statements
This press release may contain forward-looking statements, including information about management's view of TRxADE's future expectations, plans and prospects, within the safe harbor provisions under The Private Securities Litigation Reform Act of 1995 (the "Act"). In particular, when used in the preceding discussion, the words "may," "could," "expect," "intend," "plan," "seek," "anticipate," "believe," "estimate," "predict," "potential," "continue," "likely," "will," "would" and variations of these terms and similar expressions, or the negative of these terms or similar expressions are intended to identify forward-looking statements within the meaning of the Act, and are subject to the safe harbor created by the Act. Any statements made in this news release other than those of historical fact, about an action, event or development, are forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors, which may cause the results of TRxADE, its divisions and concepts to be materially different than those expressed or implied in such statements. These risks include risks relating to the stock repurchase program announced above; the adoption of our MedCheks app by partners and end-users, the apps of other competitors, including governments which may make certain apps mandatory or free, our ability to gain traction for our app in the marketplace, and the continued demand for our app; risks related to our operations not being profitable; claims relating to alleged violations of intellectual property rights of others; our ability to monetize our technological solutions; technical problems with our websites, apps and products; risks relating to implementing our acquisition strategies; challenges to the pharmaceutical supply chain posted by the COVID-19 pandemic and related matters; our ability to manage our growth; negative effects on our operations associated with the opioid pain medication health crisis; regulatory and licensing requirement risks; risks related to changes in the U.S. healthcare environment; the status of our information systems, facilities and distribution networks; risks associated with the operations of our more established competitors; regulatory changes; healthcare fraud; COVID-19, governmental responses thereto, economic downturns and possible recessions caused thereby; risks associated with the market for health passports, adoption thereof, consumer acceptance thereof, and changes in the market for such products; changes in laws or regulations relating to our operations; privacy laws; system errors; dependence on current management; our growth strategy; and others that are included from time to time in filings made by Trxade with the Securities and Exchange Commission, including, but not limited to, in the "Risk Factors" sections in its Form 10-Ks and Form 10-Qs and in its Form 8-Ks, which it has filed, and files from time to time, with the U.S. Securities and Exchange Commission. These reports are available at www.sec.gov. Other unknown or unpredictable factors also could have material adverse effects on Trxade's future results and/or could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements. The forward-looking statements included in this press release are made only as of the date hereof. Trxade cannot guarantee future results, levels of activity, performance or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. We undertake no obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.
Investor Relations:
Lucas Zimmerman
Senior Vice President
MZ Group - MZ North America
(949) 259-4987
MEDS@mzgroup.us
www.mzgroup.us
SOURCE: TRxADE HEALTH, Inc.
View source version on accesswire.com:
https://www.accesswire.com/677127/TRxADE-HEALTH-INC-Announces-Resumption-of-Modified-Stock-Repurchase-Program
FAQ
What is TRxADE HEALTH's stock repurchase program details?
How will TRxADE HEALTH fund the stock repurchase program?
What impact might the stock repurchase program have on MEDS stock price?
When was the stock repurchase program originally approved?
What is the current status of TRxADE HEALTH's stock repurchase program?
