Medallion Financial Corp. to Resume Stock Repurchase Program

Rhea-AI Summary

Medallion Financial Corp. (NASDAQ: MFIN) has announced the resumption of its stock repurchase program, with $22.9 million allocated for buybacks. Share repurchases may occur through various methods, including open market transactions and 10b5-1 plans, depending on market conditions. As of December 31, 2021, the company had 25,173,386 shares outstanding. The program is subject to modification or termination by the Board of Directors at any time. This move aims to enhance shareholder value by potentially reducing outstanding shares.

Positive

• Resumption of stock repurchase program with $22.9 million allocated, indicating confidence in the company's performance.
• Potential to enhance shareholder value by reducing the number of outstanding shares.

Negative

• The stock repurchase program is subject to market conditions, which may limit its effectiveness.
• Exposure to risks and uncertainties related to market price fluctuations and SEC investigations.

NEW YORK, March 08, 2022 (GLOBE NEWSWIRE) -- Medallion Financial Corp. (NASDAQ: MFIN, “Medallion Financial” or the “Company”), a finance company that originates and services loans in various consumer and commercial industries, announced today it would resume its existing Stock Repurchase Program.

Under the repurchase program previously authorized by the board of directors, Medallion Financial may repurchase its outstanding shares of common stock from time to time in open market or privately-negotiated transactions, including accelerated share repurchase transactions, block trades, or pursuant to 10b5-1 trading plans. Any repurchases will be at management’s discretion and will be subject to market conditions, the price of the Company’s shares and other factors. The stock repurchase program may be modified, suspended or terminated by the Board of Directors at any time.  

The Company has $22.9 million available under the current program. As of its most recently reported quarter-end December 31, 2021, the Company has 25,173,386 shares outstanding.

About Medallion Financial Corp.

Medallion Financial Corp. (NASDAQ:MFIN) and its subsidiaries originate and service a growing portfolio of consumer loans and mezzanine loans in various industries. Key industries served include recreation (towable RVs and marine) and home improvement (replacement roofs, swimming pools, and windows). Medallion Financial Corp. is headquartered in New York City, NY, and its largest subsidiary, Medallion Bank, is headquartered in Salt Lake City, Utah. For more information, please visit www.medallion.com.

Forward-Looking Statements

Please note that this press release contains forward-looking statements that involve risks and uncertainties, including relating to Company’s repurchase of its shares of common stock under its repurchase program. These statements are often, but not always, made using words or phrases such as “will” and “continue” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These statements are based on management’s current expectations and beliefs and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements in this press release due to, among other factors, changes in the market price of the Company’s stock, general market conditions, applicable securities laws and alternative investment opportunities, as well as the risks, uncertainties and other factors described in the Company’s filings with the Securities and Exchange Commission. For a description of certain risks to which Medallion Financial is or may be subject, including risks related to the pending SEC litigation investigation and risks related to the ongoing COVID-19 pandemic, please refer to the factors discussed under the heading “Risk Factors” in Medallion Financial’s 2020 Annual Report on Form 10-K and Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2021.

Company Contact:
Investor Relations
212-328-2176
InvestorRelations@medallion.com

FAQ

What is the purpose of Medallion Financial's stock repurchase program?

The stock repurchase program aims to enhance shareholder value by reducing the number of outstanding shares.

How much has Medallion Financial allocated for its stock buyback?

Medallion Financial has $22.9 million available for its stock buyback program.

What are the potential risks associated with Medallion Financial's stock repurchase program?

The program is subject to market conditions, and risks include fluctuations in stock price and ongoing SEC investigations.

How many shares does Medallion Financial currently have outstanding?

As of December 31, 2021, Medallion Financial had 25,173,386 shares outstanding.