1847 Goedeker Inc. Announces Share Repurchase Program
December 21 2021 - 8:30AM
Business Wire
1847 Goedeker Inc. (NYSE American: GOED) (“Goedeker” or the
“Company”), one of the largest specialty ecommerce players in the
U.S. household appliances market, today announced that its Board of
Directors (the “Board”) authorized a new share repurchase program
under which the Company may repurchase up to $25 million of its
outstanding shares of common stock in the open market, in
accordance with all applicable securities laws and regulations,
including Rule 10b-18 of the Securities Exchange Act of 1934, as
amended. The Company’s decision to repurchase its shares, as well
as the timing of such repurchases, will depend on a variety of
factors that include ongoing assessments of the Company’s capital
needs, obtaining requisite senior lender consent, market conditions
and the price of the Company’s common stock, and other corporate
considerations, as determined by management. The repurchase program
may be suspended or discontinued at any time.
Albert Fouerti, Chief Executive Officer and Director,
commented:
“Now that we have begun implementing a clear strategy focused on
ecommerce growth, our leadership has been able to establish an
accretive capital allocation philosophy. In addition to
prioritizing investments in talent, technology and our fulfillment
capabilities, we want to be able to buy back shares when our own
financial position and market conditions permit. The Company’s
decision to authorize a share repurchase program at this time
should signal the conviction that our Board and management have in
the Company’s strategy. While our primary emphasis will remain on
building a long-term foundation for a category-leading business, we
intend to be decisive when there are opportunities to enhance
stockholder value and make good on our commitment to strengthen the
Company’s capital structure. I am confident in this approach as a
sizable stockholder and given my family’s sizable holdings.1”
ABOUT GOEDEKER
Goedeker is a content-driven and technology-enabled shopping
destination for appliances, furniture and home goods. Since its
acquisition of Appliances Connection, Goedeker has evolved into a
growth-oriented ecommerce platform with a distinct offering of
core, premium, luxury and private label brands that can be accessed
through a seamless point-and-click experience. The company's
priorities include offering unmatched selection, high-touch product
expertise and reliable shipping from its expanding, nationwide
fulfillment network. With more than $500 million in projected
annual sales in 2021, Goedeker is one of the fastest-growing
pureplay ecommerce companies in home appliances. Learn more at
www.Goedekers.com.
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements.
Forward-looking statements include, without limitation, any
statement that predicts, forecasts, indicates or implies future
results, performance, liquidity levels or achievements, and may
contain the words “believe,” “anticipate,” “expect,” “estimate,”
“intend,” “project,” “plan,” “will be,” “will likely continue,”
“will likely result” or words or phrases of similar meaning.
Forward-looking statements in this press release are based on
estimates and assumptions made by our management that, although
believed by us to be reasonable, are inherently uncertain.
Forward-looking statements involve risks and uncertainties that may
cause our business, strategy, or actual results to differ
materially from the forward-looking statements. These risks and
uncertainties include those discussed in greater detail in our
filings with the Securities and Exchange Commission. We operate in
a changing environment in which new risks can emerge from time to
time. It is not possible for management to predict all of these
risks, nor can it assess the extent to which any factor, or a
combination of factors, may cause our business, strategy, or actual
results to differ materially from those contained in
forward-looking statements. Factors that may cause these difference
include, among other things: pricing and product cost variability;
volumes of product sold; changes in the prices, supply, and/or
demand for products that we distribute; the cyclical nature of the
industry in which we operate; housing market conditions; the
COVID-19 pandemic and other contagious illness outbreaks and their
potential effects on our industry; effective inventory management
relative to our sales volume or the prices of the products we
produce; information technology security risks and business
interruption risks; increases in petroleum prices; consolidation
among competitors, suppliers, and customers; disintermediation
risk; loss of products or key suppliers and manufacturers; our
dependence on international suppliers and manufacturers for certain
products; business disruptions; exposure to product liability and
other claims and legal proceedings related to our business and the
products we distribute; natural disasters, catastrophes, fire, or
other unexpected events; successful implementation of our strategy;
wage increases or work stoppages by our union employees; costs
imposed by federal, state, local, and other regulations; compliance
costs associated with federal, state, and local environmental
protection laws; our level of indebtedness and our ability to incur
additional debt to fund future needs; the risk that our cash flows
and capital resources may be insufficient to service our existing
or future indebtedness; the covenants of the instruments governing
our indebtedness limiting the discretion of our management in
operating our business; the fact that we lease many of our
distribution centers, and we would still be obligated under these
leases even if we close a leased distribution center; changes in
our product mix; shareholder activism; potential acquisitions and
the integration and completion of such acquisitions; the
possibility that the value of our deferred tax assets could become
impaired; changes in our expected annual effective tax rate could
be volatile; the costs and liabilities related to our participation
in multi-employer pension plans could increase; the possibility
that we could be the subject of securities class action litigation
due to stock price volatility; and changes in, or interpretation
of, accounting principles.
Given these risks and uncertainties, we caution you not to place
undue reliance on forward-looking statements. We expressly disclaim
any obligation to update or revise any forward-looking statement as
a result of new information, future events or otherwise, except as
required by law.
1 Mr. Fouerti holds 788,876 shares of common stock individually
and The 2021 Albert Fouerti Trust F/B/O holds 2,947,986 shares of
common stock. The 2021 Elie Fouerti Trust F/B/O holds 2,947,987
shares of common stock.
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version on businesswire.com: https://www.businesswire.com/news/home/20211221005257/en/
Goedeker Investor Relations Greg Marose / Ashley Areopagita
ir@goedekers.com
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