Visteon Announces $300 Million Share Repurchase Authorization

Rhea-AI Summary

Visteon Corporation (Nasdaq: VC) announced a $300 million share repurchase program, effective until December 31, 2026. Funding will come from excess cash and future cash flow. CEO Sachin Lawande emphasized this initiative highlights the board's confidence in Visteon’s strategic growth plan, focusing on digital, software-defined, and electric automotive solutions. Repurchases will occur through open market or privately negotiated transactions, dependent on market conditions and other factors. In 2022, Visteon reported $3.76 billion in sales and secured $6 billion in new business.

Positive

• Authorized $300 million share repurchase program enhances shareholder value.
• Funding through excess cash and future cash flow supports financial stability.
• Demonstrates board's confidence in Visteon's strategic growth plan.

Negative

• None.

VAN BUREN TOWNSHIP, Mich., March 07, 2023 (GLOBE NEWSWIRE) -- Visteon Corporation (Nasdaq: VC) today announced that its board of directors has authorized a share repurchase program of $300 million of common stock expiring December 31, 2026. Visteon expects to fund the repurchases through excess cash on hand and future cash flow generation.

“We are pleased to announce this new share repurchase program, further underscoring our commitment to driving value for our shareholders,” said Sachin Lawande, Visteon president and CEO. “This authorization demonstrates our board’s confidence in Visteon’s strategic growth plan as we deliver digital, software-defined, and electric product solutions that align with key trends in the industry.”

Shares may be repurchased from time to time in open market transactions or in privately negotiated transactions depending on market and economic conditions, share price, trading volume, alternative uses of capital and other factors. Such purchases will be made in accordance with applicable U.S. securities laws and regulations.

About Visteon
Visteon is a global technology company serving the mobility industry, dedicated to creating a more enjoyable, connected and safe driving experience. The company’s platforms leverage proven, scalable hardware and software solutions that enable the digital, electric, and autonomous evolution of our global automotive customers. Visteon products align with key industry trends and include digital instrument clusters, displays, Android-based infotainment systems, domain controllers, advanced driver assistance systems and electrification. The company, headquartered in Van Buren Township, Michigan, recorded approximately $3.76 billion in annual sales and booked $6 billion of new business in 2022.  Learn more at https://investors.visteon.com/.

FAQ

What is Visteon's share repurchase program amount and duration?

Visteon has authorized a $300 million share repurchase program, expiring on December 31, 2026.

How will Visteon fund its share repurchase program?

The program will be funded through excess cash on hand and future cash flow generation.

What does the share repurchase program indicate about Visteon's future?

It reflects the board's confidence in Visteon's strategic growth plan and commitment to shareholder value.

When will Visteon begin repurchasing shares?

Shares may be repurchased from time to time, depending on market and economic conditions.