Wix Announces Board Authorization of $200 Million Share Repurchase Program
Wix (NASDAQ: WIX) has announced a significant $200 million share repurchase program authorized by its Board of Directors. The program encompasses both ordinary shares and convertible notes, reflecting the Board's confidence in the company's strong cash flow generation capabilities.
The repurchase will be executed through various methods including open market purchases and privately negotiated transactions, in compliance with U.S. securities laws and Rule 10b-18. The company may implement Rule 10b5-1 compliant plans to facilitate the repurchases.
The program will commence after a 30-day period allowing creditors to object under Israeli regulations. The timing, quantity, and value of securities repurchased will depend on market conditions, share price, and the company's financial position. Wix plans to fund the repurchases using existing cash reserves and future operational cash flow.
Wix (NASDAQ: WIX) ha annunciato un significativo programma di riacquisto di azioni da 200 milioni di dollari autorizzato dal suo Consiglio di Amministrazione. Il programma comprende sia azioni ordinarie che note convertibili, riflettendo la fiducia del Consiglio nelle forti capacità di generazione di flussi di cassa dell'azienda.
Il riacquisto sarà effettuato attraverso vari metodi, inclusi acquisti sul mercato aperto e transazioni negoziate privatamente, in conformità con le leggi statunitensi sui titoli e la Regola 10b-18. L'azienda potrebbe implementare piani conformi alla Regola 10b5-1 per facilitare i riacquisti.
Il programma inizierà dopo un periodo di 30 giorni che consente ai creditori di opporsi secondo le normative israeliane. Il momento, la quantità e il valore dei titoli riacquistati dipenderanno dalle condizioni di mercato, dal prezzo delle azioni e dalla posizione finanziaria dell'azienda. Wix prevede di finanziare i riacquisti utilizzando riserve di cassa esistenti e futuri flussi di cassa operativi.
Wix (NASDAQ: WIX) ha anunciado un significativo programa de recompra de acciones de 200 millones de dólares autorizado por su Junta Directiva. El programa abarca tanto acciones ordinarias como notas convertibles, reflejando la confianza de la Junta en las sólidas capacidades de generación de flujo de efectivo de la empresa.
La recompra se llevará a cabo a través de diversos métodos, incluidos compras en el mercado abierto y transacciones negociadas de forma privada, cumpliendo con las leyes de valores de EE. UU. y la Regla 10b-18. La empresa puede implementar planes conformes a la Regla 10b5-1 para facilitar las recompras.
El programa comenzará después de un período de 30 días que permite a los acreedores presentar objeciones bajo las regulaciones israelíes. El momento, la cantidad y el valor de los valores recomprados dependerán de las condiciones del mercado, el precio de las acciones y la posición financiera de la empresa. Wix planea financiar las recompras utilizando reservas de efectivo existentes y futuros flujos de efectivo operativo.
Wix (NASDAQ: WIX)는 이사회에서 승인한 2억 달러 규모의 자사주 매입 프로그램을 발표했습니다. 이 프로그램은 보통주와 전환사채를 모두 포함하며, 이사회가 회사의 강력한 현금 흐름 생성 능력에 대한 신뢰를 반영합니다.
매입은 공개 시장 구매 및 사적으로 협상된 거래를 포함한 다양한 방법으로 실행되며, 미국 증권법 및 규칙 10b-18을 준수합니다. 회사는 매입을 용이하게 하기 위해 규칙 10b5-1에 부합하는 계획을 시행할 수 있습니다.
이 프로그램은 이스라엘 규정에 따라 채권자가 이의를 제기할 수 있는 30일의 기간이 지난 후 시작됩니다. 매입되는 증권의 시기, 수량 및 가치는 시장 조건, 주가 및 회사의 재무 상황에 따라 달라집니다. Wix는 기존 현금 보유 및 향후 운영 현금 흐름을 사용하여 매입 자금을 조달할 계획입니다.
Wix (NASDAQ: WIX) a annoncé un programme de rachat d'actions de 200 millions de dollars significatif, autorisé par son Conseil d'Administration. Le programme inclut à la fois des actions ordinaires et des obligations convertibles, reflétant la confiance du Conseil dans les solides capacités de génération de flux de trésorerie de l'entreprise.
Le rachat sera effectué par divers moyens, y compris les achats sur le marché ouvert et les transactions négociées en privé, conformément aux lois américaines sur les valeurs mobilières et à la règle 10b-18. L'entreprise peut mettre en œuvre des plans conformes à la règle 10b5-1 pour faciliter les rachats.
Le programme commencera après une période de 30 jours permettant aux créanciers de s'opposer selon les réglementations israéliennes. Le moment, la quantité et la valeur des titres rachetés dépendront des conditions du marché, du prix des actions et de la situation financière de l'entreprise. Wix prévoit de financer les rachats en utilisant les réserves de liquidités existantes et les futurs flux de trésorerie opérationnels.
Wix (NASDAQ: WIX) hat ein bedeutendes Aktienrückkaufprogramm über 200 Millionen Dollar angekündigt, das von seinem Vorstand genehmigt wurde. Das Programm umfasst sowohl Stammaktien als auch wandelbare Anleihen und spiegelt das Vertrauen des Vorstands in die starken Cashflow-Generierungsfähigkeiten des Unternehmens wider.
Der Rückkauf wird durch verschiedene Methoden durchgeführt, einschließlich Käufen im offenen Markt und privat ausgehandelten Transaktionen, in Übereinstimmung mit den US-Wertpapiergesetzen und Regel 10b-18. Das Unternehmen kann Regel 10b5-1-konforme Pläne implementieren, um die Rückkäufe zu erleichtern.
Das Programm beginnt nach einer 30-tägigen Frist, die Gläubigern erlaubt, gemäß den israelischen Vorschriften Einsprüche zu erheben. Der Zeitpunkt, die Menge und der Wert der zurückgekauften Wertpapiere hängen von den Marktbedingungen, dem Aktienkurs und der finanziellen Lage des Unternehmens ab. Wix plant, die Rückkäufe mit bestehenden Barreserven und zukünftigen operativen Cashflows zu finanzieren.
- $200M commitment to return capital to shareholders
- Board's confidence in strong cash flow generation
- Flexibility in repurchase execution methods
- Available cash reserves to fund program
- Program subject to 30-day creditor objection period
- No obligation to acquire any specific amount of securities
- Program can be suspended or discontinued at company's discretion
Insights
Wix's newly authorized
This buyback comes as many SaaS companies are shifting focus from growth-at-all-costs to demonstrating financial discipline and returning capital to shareholders. For Wix specifically, this program could enhance key financial metrics by reducing share count, potentially boosting EPS and ROE while providing support for the stock price.
The flexibility to repurchase both ordinary shares and convertible notes gives management options to optimize the company's capital structure. By potentially reducing outstanding convertible debt, Wix could decrease future dilution risk while simultaneously lowering interest expenses.
From a financial health perspective, Wix's decision to fund repurchases through existing cash and future operational cash flows suggests strong confidence in their liquidity position. However, investors should monitor whether this capital allocation approach might constrain investments in product development or M&A opportunities that could drive long-term growth.
The timing of this announcement, coming after Wix has demonstrated improved profitability in recent quarters, appears strategic – reinforcing the company's evolution toward sustainable profitability while maintaining its position in the website building and e-commerce enablement market.
NEW YORK --Wix.com Ltd. (NASDAQ: WIX) ("Wix," the "Company," "we" or "our"), today announced that its Board of Directors (the "Board") authorized a program to repurchase the Company's securities (ordinary shares and/or convertible notes) in an amount up to
This repurchase program demonstrates the Board's continued confidence in the Company's ability to drive strong cash flow generation and ongoing commitment to increasing shareholder value.
Under the Board authorized repurchase program, Company securities may be repurchased from time to time using a variety of methods, which may include open market purchases, privately negotiated transactions or otherwise, all in accordance with U.S. securities laws and regulations, including Rule 10b-18 under the U.S. Securities Exchange Act of 1934, as amended (the "Exchange Act"). The Company may also, from time to time, enter into plans that are compliant with Rule 10b5-1 of the Exchange Act to facilitate repurchases of its securities under this authorization. The repurchase program does not obligate the Company to acquire any particular amount of securities, and the repurchase program may be suspended or discontinued at any time at the Company's discretion. Repurchases under the repurchase program may begin after conclusion of the 30-day period for creditors of the Company to object to the Company's intent to perform the distribution by way of repurchase in accordance with the Israeli Companies Regulations (Relief for Public Companies Whose Securities are Traded on Stock Exchanges Outside of Israel), 5760-2000 and the Israeli Regulations (Approval of Distribution), 5761–2001. The actual timing, number and value of securities repurchased depend on a number of factors, including the market price of the Company's ordinary shares, general market and economic conditions, any objections received by the Company from its creditors, the Company's financial results and liquidity, and other considerations. The Company expects to fund repurchases with cash on hand and future cash generated from its operations.
About Wix.com Ltd.
Wix is the leading SaaS website builder platform1 to create, manage and grow a digital presence. Founded in 2006, Wix is a comprehensive platform providing users - self-creators, agencies, enterprises, and more - with industry-leading performance, security, AI capabilities and a reliable infrastructure. Offering a wide range of commerce and business solutions, advanced SEO and marketing tools, the platform enables users to take full ownership of their brand, their data and their relationships with their customers. With a focus on continuous innovation and delivery of new features and products, users can seamlessly build a powerful and high-end digital presence for themselves or their clients.
For more about Wix, please visit our Press Room
Media Relations Contact: PR@wix.com
1 Based on number of active live sites as reported by competitors' figures, independent third-party data and internal data as of H1 2024.
Forward-Looking Statements
This document contains forward-looking statements, within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Such forward-looking statements may be identified by words like “anticipate,” “assume,” “believe,” “aim,” “forecast,” “indication,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “outlook,” “future,” “will,” “seek,” “confidence,” and similar terms or phrases. The forward-looking statements contained in this document, are based on management’s current expectations, which are subject to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Important factors that could cause our actual results to differ materially from those indicated in the forward-looking statements include, among others, our expectation that we will be able to attract and retain registered users and partners, and generate new premium subscriptions, in particular as we continuously adjust our marketing strategy and as the macro-economic environment continues to be turbulent; our expectation that we will be able to increase the average revenue we derive per premium subscription, including through our partners; our expectation that new products and developments, as well as third-party products we will offer in the future within our platform, will receive customer acceptance and satisfaction, including the growth in market adoption of our online commerce solutions and our Wix Studio product; our expectations regarding our ability to develop relevant and required products using artificial intelligence (“AI”), the regulatory environment impacting AI and AI-related activities, including privacy and intellectual property, and potential competitive impacts from AI tools; our assumption that historical user behavior can be extrapolated to predict future user behavior, in particular during turbulent macro-economic environments; our prediction of the future revenues and/or bookings generated by our user cohorts and our ability to maintain and increase such revenue growth, as well as our ability to generate and maintain elevated levels of free cash flow and profitability; our expectation to maintain and enhance our brand and reputation; our expectation that we will effectively execute our initiatives to improve our user support function through our Customer Care team, and continue attracting registered users and partners, and increase user retention, user engagement and sales; our ability to successfully localize our products, including by making our product, support and communication channels available in additional languages and to expand our payment infrastructure to transact in additional local currencies and accept additional payment methods; our expectation regarding the impact of fluctuations in foreign currency exchange rates, interest rates, potential illiquidity of banking systems, and other recessionary trends on our business; our expectations relating to the repurchase of our ordinary shares and/or Convertible Notes pursuant to our repurchase program; our expectation that we will effectively manage our infrastructure; our expectation to comply with AI, privacy, and data protection laws and regulations as well as contractual privacy and data protection obligations; our expectations regarding the outcome of any regulatory investigation or litigation, including class actions; our expectations regarding future changes in our cost of revenues and our operating expenses on an absolute basis and as a percentage of our revenues, as well as our ability to achieve and maintain profitability; our expectations regarding changes in the global, national, regional or local economic, business, competitive, market, and regulatory landscape, including as a result of Israel-Hamas war and/or the Israel-Hezbollah hostilities and/or the Ukraine-Russia war and any escalations thereof and potential for wider regional instability and conflict; our planned level of capital expenditures and our belief that our existing cash and cash from operations will be sufficient to fund our operations for at least the next 12 months and for the foreseeable future; our expectations with respect to the integration and performance of acquisitions; our ability to attract and retain qualified employees and key personnel; and our expectations about entering into new markets and attracting new customer demographics, including our ability to successfully attract new partners large enterprise-level users and to grow our activities, including through the adoption of our Wix Studio product, with these customer types as anticipated and other factors discussed under the heading “Risk Factors” in the Company’s annual report on Form 20-F for the year ended December 31, 2023, filed with the Securities and Exchange Commission on March 22, 2024. The preceding list is not intended to be an exhaustive list of all of our forward-looking statements. Any forward-looking statement made by us in this press release speaks only as of the date hereof. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.
FAQ
How much is Wix's new share repurchase program worth?
When will Wix's share repurchase program begin?
How will Wix fund the $200M share repurchase program?
What methods will WIX use for the share repurchase program?
