Anika Announces $50 Million Share Repurchase Program
May 02 2019 - 4:02PM
Business Wire
Anika Therapeutics, Inc. (NASDAQ: ANIK), a global, integrated
orthopedic and regenerative medicines company specializing in
therapeutics based on its proprietary hyaluronic acid (“HA”)
technology, today announced that its Board of Directors has
authorized the repurchase of up to $50 million of the Company’s
shares of common stock. Anika plans to purchase $30 million of
shares under an accelerated share repurchase (ASR) program and $20
million of shares from time to time on the open market. This
follows the previous $30 million ASR program Anika announced in May
2018 and completed in July 2018.
“We are pleased to continue returning cash to shareholders
through share repurchases, as we transform Anika into a global
commercial company,” said Joseph Darling, President and Chief
Executive Officer of Anika Therapeutics. “This additional share
repurchase program underscores our commitment to a balanced and
disciplined approach to capital allocation and reflects our
confidence in the long-term outlook for the Company. We also remain
focused on balancing our efforts to return cash to shareholders
against growth opportunities available to Anika, including organic
growth opportunities and strategic acquisitions to drive long-term
shareholder value.”
The Company will enter into an accelerated stock repurchase
agreement with Morgan Stanley & Co. LLC pursuant to a Fixed
Dollar Accelerated Share Repurchase Transaction to purchase $30
million of shares of its common stock. The number of shares to be
repurchased will be based generally on the volume-weighted average
share price of Anika common stock over a valuation period. Anika
expects that the ASR program will commence in mid-May and that it
will be completed no later than the second quarter of 2020. The
timing and amount of any shares purchased on the open market will
be determined based on the Company's evaluation of market
conditions, share price and other factors. The Company plans to
utilize existing cash on hand to fund the share repurchase
program.
About Anika Therapeutics, Inc.
Anika Therapeutics, Inc. (NASDAQ: ANIK) is a global, integrated
orthopedic and regenerative medicines company based in Bedford,
Massachusetts. Anika is committed to improving the lives of
patients with degenerative orthopedic diseases and traumatic
conditions with clinically meaningful therapies along the continuum
of care, from palliative pain management to regenerative tissue
repair. The Company has over two decades of global expertise
developing, manufacturing, and commercializing more than 20
products based on its proprietary hyaluronic acid (HA) technology.
Anika's orthopedic medicine portfolio includes ORTHOVISC®,
MONOVISC®, and CINGAL®, which alleviate pain and restore joint
function by replenishing depleted HA, and HYALOFAST, a solid
HA-based scaffold to aid cartilage repair and regeneration. For
more information about Anika, please visit
www.anikatherapeutics.com.
Forward-Looking Statements
The statements made in the second sentence of the first
paragraph, the first and last sentences of the second paragraph,
and the third and last sentences of the third paragraph of this
press release, which are not statements of historical fact, are
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. These statements
include, but are not limited to, those relating to the Company’s
share repurchase program and future events pursuant to the ASR
Agreement, potential additional purchases on the open market and
any effects, results, or other matters related thereto, as well as
the Company’s strategic business focus. These statements are based
upon the current beliefs and expectations of the Company’s
management and are subject to significant risks, uncertainties, and
other factors. These statements can be affected by inaccurate
assumptions and by known and unknown risks and uncertainties that
are difficult to predict or beyond the Company's control,
including, among others, the terms of the ASR Agreement and factors
affecting the final number and price of shares to be purchased
under the ASR Agreement, including the volume-weighted average
stock price of the Company's common stock and actions taken by
Morgan Stanley with respect to such arrangement, events and
transactions that could result in the termination of the ASR
Agreement, the stock price of the Company’s common stock, and
decisions by the Company regarding open market repurchases in light
of the totality of information available to the Company. Additional
factors and risks are described in the Company's periodic reports
filed with the Securities and Exchange Commission, and they
are available on the SEC's website at www.sec.gov.
Forward-looking statements are made based on information available
to the Company on the date of this press release, and the Company
assumes no obligation to update the information contained in this
press release.
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version on businesswire.com: https://www.businesswire.com/news/home/20190502005854/en/
Anika Therapeutics, Inc.Sylvia Cheung, 781-457-9000Chief
Financial Officer
Anika Therapeutics (NASDAQ:ANIK)
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