Valens Adopts a Share Repurchase Program of up to $15 Million
Valens Semiconductor (NYSE: VLN) has announced that its Board of Directors has approved a share repurchase program of up to $15 million of the company's ordinary shares. The program will be executed through open market purchases, private transactions, block trades, or other legally permitted transactions.
The implementation is subject to completion of required Israeli regulatory procedures, including a 30-day period during which company creditors may object to the distribution. The timing and amount of purchases will be based on market conditions and factors such as price and capital availability. The program has no minimum purchase requirement and can be modified, suspended, or discontinued at any time.
Valens Semiconductor (NYSE: VLN) ha annunciato che il suo Consiglio di Amministrazione ha approvato un programma di riacquisto di azioni fino a 15 milioni di dollari delle azioni ordinarie dell'azienda. Il programma verrà eseguito attraverso acquisti sul mercato aperto, transazioni private, operazioni a pacchetto o altre transazioni legalmente consentite.
L'attuazione è soggetta al completamento delle procedure regolatorie israeliane richieste, inclusi un periodo di 30 giorni durante il quale i creditori della società possono opporsi alla distribuzione. La tempistica e l'importo degli acquisti saranno basati sulle condizioni di mercato e su fattori come prezzo e disponibilità di capitale. Il programma non prevede requisiti minimi di acquisto e può essere modificato, sospeso o interrotto in qualsiasi momento.
Valens Semiconductor (NYSE: VLN) ha anunciado que su Junta Directiva ha aprobado un programa de recompra de acciones por un valor de hasta 15 millones de dólares de las acciones ordinarias de la compañía. El programa se llevará a cabo a través de compras en el mercado abierto, transacciones privadas, operaciones en bloque u otras transacciones permitidas por la ley.
La implementación está sujeta a la finalización de los procedimientos regulatorios requeridos en Israel, incluyendo un período de 30 días durante el cual los acreedores de la empresa pueden oponerse a la distribución. El momento y la cantidad de las compras se basarán en las condiciones del mercado y en factores como el precio y la disponibilidad de capital. El programa no tiene requisitos de compra mínimos y puede ser modificado, suspendido o interrumpido en cualquier momento.
발렌스 반도체 (NYSE: VLN)는 이사회의 결의에 따라 최대 1500만 달러의 보통주 매입 프로그램을 승인했다고 발표했습니다. 이 프로그램은 공개 시장에서의 구매, 개인 거래, 블록 거래 또는 기타 법적으로 허용된 거래를 통해 실행될 것입니다.
시행은 이스라엘 규제 절차의 완료에 따라 달라지며, 여기에는 회사 채권자가 배포에 반대할 수 있는 30일 기간이 포함됩니다. 구매의 시기와 금액은 시장 조건 및 가격과 자본 가용성 등의 요소에 따라 결정됩니다. 이 프로그램은 최소 구매 요건이 없으며 언제든지 수정, 일시 중지 또는 중단될 수 있습니다.
Valens Semiconductor (NYSE: VLN) a annoncé que son Conseil d'Administration a approuvé un programme de rachat d'actions pouvant aller jusqu'à 15 millions de dollars des actions ordinaires de la société. Le programme sera exécuté par le biais d'achats sur le marché libre, de transactions privées, de transactions en bloc ou d'autres transactions légalement autorisées.
La mise en œuvre est soumise à l'achèvement des procédures réglementaires israéliennes requises, comprenant une période de 30 jours durant laquelle les créanciers de l'entreprise peuvent s'opposer à la distribution. Le calendrier et le montant des achats seront basés sur les conditions du marché et sur des facteurs tels que le prix et la disponibilité des capitaux. Le programme n'a pas de condition d'achat minimale et peut être modifié, suspendu ou interrompu à tout moment.
Valens Semiconductor (NYSE: VLN) hat bekannt gegeben, dass der Vorstand ein Aktienrückkaufprogramm in Höhe von bis zu 15 Millionen Dollar für die Stammaktien des Unternehmens genehmigt hat. Das Programm wird durch Käufe am offenen Markt, private Transaktionen, Blockgeschäfte oder andere rechtlich erlaubte Transaktionen durchgeführt.
Die Umsetzung unterliegt den erforderlichen israelischen Regulierungsverfahren, einschließlich einer 30-tägigen Frist, während der die Gläubiger des Unternehmens gegen die Verteilung Einspruch erheben können. Der Zeitpunkt und die Höhe der Käufe werden auf der Grundlage der Marktbedingungen und Faktoren wie Preis und Kapitalverfügbarkeit festgelegt. Das Programm hat keine Mindestkaufanforderung und kann jederzeit geändert, ausgesetzt oder eingestellt werden.
- Board approval for $15 million share buyback program indicates strong financial position
- Flexible repurchase structure allows optimization of timing and pricing
- Program demonstrates confidence in company's valuation and commitment to shareholder value
- Program subject to 30-day creditor objection period under Israeli law
- No guaranteed minimum share repurchase amount
- Capital allocation to buyback may reduce funds available for operations or growth initiatives
Insights
The announcement of a
This move carries several strategic implications:
- The timing suggests management views current share prices as attractive relative to their assessment of intrinsic value, especially considering the broader semiconductor industry's cyclical nature and recent market conditions.
- The flexible implementation structure through various transaction types (open market, private, block trades) provides strategic optionality in execution, potentially minimizing market impact while maximizing program effectiveness.
- The buyback's size is meaningful enough to potentially support share price and enhance EPS, yet conservative enough to maintain adequate liquidity for R&D and operational investments important in the high-performance connectivity sector.
However, investors should note several key considerations:
- The program's effectiveness will partly depend on market conditions and trading volumes, given Valens' relatively modest market cap and trading liquidity.
- The 30-day creditor objection period under Israeli law introduces execution uncertainty and could affect the program's timing and market impact.
- The semiconductor industry's cyclical nature means careful balance is needed between share repurchases and maintaining cash reserves for potential downturns or strategic investments.
This capital allocation decision signals management's confidence in Valens' financial position and future prospects, while maintaining flexibility through the program's discretionary nature and lack of minimum purchase requirements. The move aligns with sound capital management practices in the semiconductor industry, where maintaining strategic flexibility while returning capital to shareholders is increasingly important for mid-cap players.
HOD HASHARON,
According to Section 7C.(C) of the Companies Regulations (Relief for Companies Whose Securities Are Listed for Trading on Foreign Stock Exchanges) 2000, the Company's creditors may apply to the Company and object to the Distribution, within 30 days following its publication.
Following, and subject to, completion of the required Israeli regulatory procedures, share repurchases under the program will be made from time to time in open market purchases, private transactions and/or block trades, or other transactions as permitted by securities laws and other legal requirements, including Rule 10b5-1 and Rule 10b-18, under the Securities Exchange Act of 1934, as amended. The timing and amounts of any purchases will be based on market conditions and other factors including but not limited to price and capital availability. The program does not require the purchase of any minimum dollar amount or number of shares, and the program may be modified, suspended or discontinued at any time. This press release is neither an offer to purchase nor a solicitation of an offer to buy any securities.
About Valens Semiconductor
Valens Semiconductor (NYSE:VLN) is a leader in high-performance connectivity, enabling customers to transform the digital experiences of people worldwide. Valens' chipsets are integrated into countless devices from leading customers, powering state-of-the-art audio-video installations, next-generation videoconferencing, and enabling the evolution of ADAS and autonomous driving. Pushing the boundaries of connectivity, Valens sets the standard everywhere it operates, and its technology forms the basis for the leading industry standards such as HDBaseT® and MIPI A-PHY. For more information, visit https://www.valens.com/.
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as "estimate," "plan," "project," "forecast," "intend," "will," "expect," "anticipate," "believe," "seek," "target" or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding our share repurchase program. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of Valens Semiconductor's ("Valens") management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as and must not be relied on by any investor as a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of Valens Semiconductor. These forward-looking statements are subject to a number of risks and uncertainties, including the cyclicality of the semiconductor industry; the effect of inflation and a rising interest rate environment on our customers and industry; the ability of our customers to absorb inventory; competition in the semiconductor industry, and the failure to introduce new technologies and products in a timely manner to compete successfully against competitors; if Valens fails to adjust its supply chain volume due to changing market conditions or fails to estimate its customers' demand; disruptions in relationships with any one of Valens' key customers; any difficulty selling Valens' products if customers do not design its products into their product offerings; Valens' dependence on winning selection processes; even if Valens succeeds in winning selection processes for its products, Valens may not generate timely or sufficient net sales or margins from those wins; sustained yield problems or other delays or quality events in the manufacturing process of products; our ability to effectively manage, invest in, grow, and retain our sales force, research and development capabilities, marketing team and other key personnel; our ability to timely adjust product prices to customers following price increase by the supply chain; our ability to adjust our inventory level due to reduction in demand due to inventory buffers accrued by customers; our expectations regarding the outcome of any future litigation in which we are named as a party; our ability to adequately protect and defend our intellectual property and other proprietary rights; our ability to successfully integrate or otherwise achieve anticipated benefits from acquired businesses; the market price and trading volume of the Valens ordinary shares may be volatile and could decline significantly; political, economic, governmental and tax consequences associated with our incorporation and location in
Investor Contacts:
Michal Ben Ari
Investor Relations Manager
Valens Semiconductor Ltd.
Michal.Benari@valens.com
Miri Segal
MS-IR
msegal@ms-ir.com
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SOURCE Valens Semiconductor
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