XIAMEN, China, Aug. 23, 2019 /PRNewswire/ -- Qudian Inc.
("Qudian" or the "Company") (NYSE: QD), a leading provider of
online small consumer credit products in China, today announced that it has entered
into a forward share repurchase agreement with Citibank, N.A.,
under which it will repurchase up to US$195
million worth of its outstanding American depositary shares
("ADSs") representing its Class A ordinary shares (the
"Shares").
The forward share repurchase agreement is part of the Company's
share repurchase program authorizing the repurchase of up to
US$300 million worth of its ADSs (the
"Existing Program") as originally announced on December 13, 2018. As of today, the Company has
already repurchased approximately US$103
million worth of the Shares under the Existing Program.
Under the terms of the forward share repurchase agreement, the
Company will pay Citibank, N.A. US$195
million on August 23, 2019.
The Company will not receive any initial deliveries of ADSs. The
total number of ADSs ultimately repurchased under the forward share
repurchase agreement will generally be based on the volume-weighted
average share price of the Shares during the calculation period of
the forward share repurchase program subject to certain pricing
disruption adjustments and a cap provision that will establish a
minimum number of shares repurchased, and the notional amount may
be reduced in certain circumstances following the initial hedging
period. The forward share repurchase is expected to be completed no
later than the end of the fourth quarter of 2019. The actual number
of shares repurchased will be determined at the completion of the
forward share repurchase program. Repurchases under the forward
share repurchase program will be funded from Qudian's existing cash
and cash equivalents or future cash provided by operating
activities, along with the proceeds from the recent convertible
senior notes offering. As of June 30,
2019, Qudian had cash and cash equivalents of approximately
RMB2,586.9 million (US$376.8 million).
Mr. Min Luo, Founder, Chairman
and Chief Executive Officer of Qudian said, "We continued to
deliver solid quarterly results driven by strong momentum in our
open-platform initiative and better-than-expected loan book growth.
Given the disconnect between our strong business fundamentals and
stock price, we are stepping up our share repurchase plan. This
reflects our confidence in our growth prospect and our continuous
commitment to enhancing shareholder value."
Exchange Rate Information
This announcement contains translations of certain RMB amounts
into U.S. dollars ("US$") at specified rates solely for the
convenience of the reader. Unless otherwise stated, all
translations from RMB to US$ were made at the rate of RMB6.8650 to US$1.00, the noon buying rate in effect on
June 28, 2019 in the H.10 statistical
release of the Federal Reserve Board. The Company makes no
representation that the RMB or US$ amounts referred could be
converted into US$ or RMB, as the case may be, at any particular
rate or at all.
About Qudian Inc.
Qudian Inc. ("Qudian") is a leading provider of online small
consumer credit in China. The
Company uses big data-enabled technologies, such as artificial
intelligence and machine learning, to transform the consumer
finance experience in China. With
the mission to use technology to make personalized credit
accessible, Qudian targets hundreds of millions of young,
mobile-active consumers in China
who need access to small credit for their discretionary spending
but are underserved by traditional financial institutions due to
lack of traditional credit data. Qudian's data technology
capabilities combined with its operating efficiencies allow Qudian
to understand prospective borrowers from different behavioral and
transactional perspectives, assess their credit profiles with
regard to both their willingness and ability to repay and offer
them instantaneous and affordable credit products with customized
terms, and distinguish Qudian's business and offerings.
For more information, please visit http://ir.qudian.com.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the
United States Private Securities Litigation Reform Act of 1995.
These forward-looking statements can be identified by terminology
such as "will," "expects," "anticipates," "future," "intends,"
"plans," "believes," "estimates" and similar statements. Among
other things, the expectation of its collection efficiency and
delinquency, contain forward-looking statements. Qudian may also
make written or oral forward-looking statements in its periodic
reports to the SEC, in its annual report to shareholders, in press
releases and other written materials and in oral statements made by
its officers, directors or employees to third parties. Statements
that are not historical facts, including statements about Qudian's
beliefs and expectations, are forward-looking statements.
Forward-looking statements involve inherent risks and
uncertainties. A number of factors could cause actual results to
differ materially from those contained in any forward-looking
statement, including but not limited to the following: Qudian's
goal and strategies; Qudian's expansion plans; Qudian's future
business development, financial condition and results of
operations; Qudian's expectations regarding demand for, and market
acceptance of, its credit products; Qudian's expectations regarding
keeping and strengthening its relationships with borrowers,
institutional funding partners, merchandise suppliers and other
parties it collaborate with; general economic and business
conditions; and assumptions underlying or related to any of the
foregoing. Further information regarding these and other risks is
included in Qudian's filings with the SEC. All information provided
in this press release and in the attachments is as of the date of
this press release, and Qudian does not undertake any obligation to
update any forward-looking statement, except as required under
applicable law.
For investor and media inquiries, please contact:
Qudian Inc.
Annie Huang
Tel: +86-592-591-1580
E-mail: ir@qudian.com
The Foote Group
Philip Lisio
Tel: +86-135-0116-6560
E-mail: qudian@thefootegroup.com
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SOURCE Qudian Inc.