Customers Bancorp Announces Common Stock Repurchase Plan and Updates 2021 Core EPS Guidance
August 26 2021 - 4:55PM
Business Wire
Customers Bancorp, Inc. (NYSE: CUBI) announced today that its
Board of Directors authorized a new share repurchase plan to
repurchase up to 10% of its outstanding common stock as of June 30,
2021 over a one-year period.
“This authorization reflects the next step in our multiphase
strategy to increase shareholder value,” said Jay Sidhu, chairman
and CEO of Customers Bancorp, Inc. “We could not be happier with
where we stand today and the prospects of our company. Depending on
the timing of PPP loan forgiveness, we now expect 2021 core
earnings per share to be between $7.00 and $8.00, with a resulting
book value of up to $37.00 per share by year-end 2021, before the
effect of any common share repurchases. We also expect to launch
our previously announced Real Time Payments systems network before
the end of third quarter 2021. As a forward-thinking technology
enabled regional community bank, we are excited about our future.
Our fintech capabilities generated $72.5 million of shareholder
value creation through the BankMobile divestiture and special
one-time dividend and about $400 million of total anticipated
revenues from PPP alone,” commented Sidhu.
The timing and amount of common stock repurchases made pursuant
to the Customers Bancorp common stock repurchase program are
subject to various factors, including the company's capital
position, liquidity, financial performance and alternative uses of
capital, stock trading price, regulatory requirements and
limitations, and general market conditions. Also, it may be
suspended at any time. The common stock repurchases may be effected
through open market purchases or privately negotiated transactions,
including repurchase plans that satisfy the conditions of Rule
10b5-1 of the Securities Exchange Act of 1934, as amended.
“Safe Harbor” Statement
In addition to historical information, this press release may
contain “forward-looking statements” within the meaning of the
“safe harbor” provisions of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements include
statements with respect to Customers Bancorp, Inc.’s strategies,
goals, beliefs, expectations, estimates, intentions, capital
raising efforts, financial condition and results of operations,
future performance and business. Statements preceded by, followed
by, or that include the words “may,” “could,” “should,” “pro
forma,” “looking forward,” “would,” “believe,” “expect,”
“anticipate,” “estimate,” “intend,” “plan,” or similar expressions
generally indicate a forward-looking statement. These
forward-looking statements involve risks and uncertainties that are
subject to change based on various important factors (some of
which, in whole or in part, are beyond Customers Bancorp, Inc.’s
control). Numerous competitive, economic, regulatory, legal and
technological events and factors, among others, could cause
Customers Bancorp, Inc.’s financial performance to differ
materially from the goals, plans, objectives, intentions and
expectations expressed in such forward-looking statements,
including: the adverse impact on the U.S. economy, including the
markets in which we operate, of the coronavirus outbreak, and the
impact of a slowing U.S. economy and increased unemployment on the
performance of our loan and lease portfolio, the market value of
our investment securities, the demand for our products and services
and the availability of sources of funding; the effects of actions
by the federal government, including the Board of Governors of the
Federal Reserve System and other government agencies, that affect
market interest rates and the money supply; actions that we and our
customers take in response to these developments and the effects
such actions have on our operations, products, services and
customer relationships; and the effects of any changes in
accounting standards or policies. Customers Bancorp, Inc. cautions
that the foregoing factors are not exclusive, and neither such
factors nor any such forward-looking statement takes into account
the impact of any future events. All forward-looking statements and
information set forth herein are based on management’s current
beliefs and assumptions as of the date hereof and speak only as of
the date they are made. For a more complete discussion of the
assumptions, risks and uncertainties related to our business, you
are encouraged to review Customers Bancorp, Inc.’s filings with the
Securities and Exchange Commission, including its most recent
annual report on Form 10-K for the year ended December 31, 2020,
subsequently filed quarterly reports on Form 10-Q and current
reports on Form 8-K, including any amendments thereto, that update
or provide information in addition to the information included in
the Form 10-K and Form 10-Q filings, if any. Customers Bancorp,
Inc. does not undertake to update any forward-looking statement
whether written or oral, that may be made from time to time by
Customers Bancorp, Inc. or by or on behalf of Customers Bank,
except as may be required under applicable law.
About Customers Bancorp,
Inc.
Customers Bancorp, Inc. (NYSE:CUBI) is a bank holding company
located in West Reading, Pennsylvania engaged in banking and
related businesses through its bank subsidiary, Customers Bank, a
full-service bank with $19.6 billion in assets at June 30, 2021. A
member of the Federal Reserve System with deposits insured by the
Federal Deposit Insurance Corporation, Customers Bank is an equal
opportunity lender that provides a range of banking and lending
services to small and medium-sized businesses, professionals,
individuals and families. Services and products are available
wherever permitted by law through mobile-first apps, online
portals, and a network of offices and branches.
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version on businesswire.com: https://www.businesswire.com/news/home/20210826005767/en/
Carla Leibold, CFO 484-923-8802 Sam Sidhu, President
484-744-8985
Customers Bancorp (NYSE:CUBI)
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