Victory Capital Announces New Share Repurchase Authorization

Rhea-AI Summary

Victory Capital Holdings, Inc. (NASDAQ: VCTR) has announced a new stock repurchase program authorizing the buyback of up to $15 million of its common stock, effective immediately after the current program's completion. This initiative aligns with the company's strategy of utilizing strong cash flow to support growth and return capital to shareholders via buybacks and dividends. Victory Capital holds approximately $160.5 billion in assets under management.

Positive

• New stock repurchase program authorizing $15 million buyback enhances shareholder value.
• Strong cash flow supports both shareholder returns and future growth initiatives.

Negative

• None.

SAN ANTONIO--(BUSINESS WIRE)-- Victory Capital Holdings, Inc. (NASDAQ: VCTR) (“Victory Capital” or the “Company”) today announced that its Board of Directors has approved a new common stock repurchase program authorizing the repurchase of up to $15 million of its Common Stock through December 31, 2023.

“The primary use of our free cashflow remains supporting growth initiatives such as funding strategic acquisitions and reducing debt to enhance balance sheet flexibility,” said David Brown, Chairman and Chief Executive Officer. “Given our ability to generate strong cashflow, we can continue returning capital to shareholders via share repurchases and cash dividends, while simultaneously investing in our business to support future growth.”

The Company’s current $15 million stock repurchase authorization, initiated in May of this year, has been largely completed.

Under the new program, which will commence immediately upon completion of the current program, the Company may purchase its shares from time to time in the open market or in privately negotiated transactions. The amount and timing of the purchases will depend on a number of factors including the price and availability of the Company's shares, trading volume, capital availability, Company performance and general economic and market conditions. The share repurchase program may be suspended or discontinued at any time.

About Victory Capital

Victory Capital is a diversified global asset management firm with $160.5 billion in assets under management as of November 30, 2021. It was ranked ninth on Fortune’s list of the 100 Fastest Growing Companies for 2021. The Company operates a next-generation business model combining boutique investment qualities with the benefits of a fully integrated, centralized operating and distribution platform.

Victory Capital provides specialized investment strategies to institutions, intermediaries, retirement platforms and individual investors. With 11 autonomous Investment Franchises and a Solutions Platform, Victory Capital offers a wide array of investment products, including mutual funds, ETFs, separately managed accounts, alternative investments, collective investment trusts, private funds, and a 529 Education Savings Plan.

For more information, please visit www.vcm.com or follow us: Twitter and LinkedIn

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Fortune’s annual list ranks the top performing, publicly traded companies in revenues, profits and stock returns over the three-year period ended April 30, 2021.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211221005076/en/

Investors:

Matthew Dennis, CFA

Chief of Staff

Director, Investor Relations

216-898-2412

mdennis@vcm.com



Media:

Tricia Ross

310-622-8226

tross@finprofiles.com

Source: Victory Capital Holdings, Inc.

FAQ

What is the new stock repurchase program for VCTR?

Victory Capital announced a new stock repurchase program authorizing up to $15 million for buying back shares.

When will the new stock buyback program for VCTR start?

The new buyback program will commence immediately upon the completion of the current program.

What is the purpose of the VCTR stock repurchase?

The repurchase aims to enhance shareholder value while supporting strategic growth initiatives.

How much cash flow does Victory Capital have to support the buyback?

Victory Capital generates strong cash flow, enabling support for buybacks and growth initiatives.