LifeVantage Announces $16 Million Accelerated Debt Retirement and Share Repurchase Program Initiative
June 03 2014 - 9:00AM
LifeVantage Corporation (Nasdaq:LFVN), a company dedicated to
helping people achieve healthy living through a combination of a
compelling business opportunity and scientifically validated
products, announced today that its Board of Directors has approved
up to $4 million in stock repurchases in combination with a $12
million accelerated debt repayment. We expect to fund the $16
million through cash on hand and future cash flow from operations.
We recently completed the $6 million program we announced in March
by using $3 million to repurchase 2,149,725 shares.
"We ended our third fiscal quarter with a healthy cash balance
of $35.7 million," stated Douglas C. Robinson President and Chief
Executive Officer of LifeVantage. "We believe we will continue to
generate strong cash flow enabling us to invest in new product
launches and global expansion initiatives as well as repurchasing
shares and accelerating debt payments to enhance long-term
shareholder value. The previously announced $6 million program
ended and our new $16 million program will continue through
calendar 2014."
As of March 31, 2014, the Company's cash and cash equivalents
were $35.7 million, and total debt was $45.8 million. As of
May 1, 2014 there were 103,701,792 shares outstanding.
The repurchase program permits LifeVantage to purchase shares
from time to time through a variety of methods, including in the
open market, through privately negotiated transactions or other
means as determined by the company's management, in accordance with
applicable securities laws. As part of the repurchase program,
the Company anticipates entering into a pre-arranged stock
repurchase plan which will operate in accordance with guidelines
specified under Rule 10b5-1 of the Securities Exchange Act of 1934.
Accordingly, transactions, if any, under the pre-arranged
repurchase plan would be completed in accordance with the terms of
the stock repurchase plan, including specified price, volume and
timing conditions.
About LifeVantage Corporation
LifeVantage Corporation (Nasdaq:LFVN), a leader in Nrf2 science
and the maker of Protandim®, the Nrf2 Synergizer® patented dietary
supplement, TrueScienceTM Anti-Aging Skin Care Regimen with
enhanced Nrf2 technologies, and LifeVantage® Canine Health, is a
science based network marketing company. LifeVantage is dedicated
to visionary science that looks to transform wellness and
anti-aging internally and externally with products that
dramatically reduce oxidative stress at the cellular level.
LifeVantage was founded in 2003 and is headquartered in Salt Lake
City, Utah.
Forward Looking Statements
This document contains forward-looking statements made pursuant
to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Words and expressions reflecting optimism,
satisfaction or disappointment with current prospects, as well as
words such as "believe," "hopes," "intends," "estimates,"
"expects," "projects," "plans," "anticipates," "look forward to"
and variations thereof, identify forward-looking statements, but
their absence does not mean that a statement is not
forward-looking. Examples of forward-looking statements include
statements we make regarding our operating income, cash flow from
operations, the amount of stock we will repurchase, how we will
fund the repurchase program and the Company's future investment and
growth. Such forward-looking statements are not guarantees of
performance and the Company's actual results could differ
materially from those contained in such statements. These
forward-looking statements are based on the Company's current
expectations and beliefs concerning future events affecting the
Company and involve known and unknown risks and uncertainties that
may cause the Company's actual results or outcomes to be materially
different from those anticipated and discussed herein. These risks
and uncertainties include, among others, those discussed in greater
detail in the Company's Annual Report on Form 10-K and the
Company's Quarterly Report on Form 10-Q under the caption "Risk
Factors," and in other documents filed by the Company from time to
time with the Securities and Exchange Commission. The Company
cautions investors not to place undue reliance on the
forward-looking statements contained in this document. All
forward-looking statements are based on information currently
available to the Company on the date hereof, and the Company
undertakes no obligation to revise or update these forward-looking
statements to reflect events or circumstances after the date of
this document, except as required by law.
CONTACT: Investor Relations Contact:
Cindy England (801) 432-9036
Director of Investor Relations
-or-
John Mills (310) 954-1105
Partner, ICR, INC
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