Ashland announces $450 million accelerated share repurchase program
September 03 2021 - 7:00AM
Ashland Global Holdings, Inc. (NYSE: ASH) today announced that
it has entered into an uncollared accelerated share repurchase
(ASR) agreement with JPMorgan Chase Bank, National Association, to
repurchase an aggregate of $450 million of Ashland common
stock, with an initial delivery of approximately 3.9 million
shares. The program is subject to the $1 billion share repurchase
program authorized by Ashland Board of Directors on March 15, 2018
from which $800 million is outstanding.
“Today’s announcement reflects the board of
directors’ confidence and commitment to deliver shareholder value
through disciplined capital allocation,” said Guillermo Novo,
chairman and chief executive officer, Ashland. “Ashland’s strong
balance sheet, compelling free cash flow generation and net
proceeds from a performance adhesives sale affords substantial
investment in our key business strategies and growth initiatives as
well as the ability to return capital to shareholders.”
The ASR agreement is scheduled to terminate no
later than March 31, 2022 but may be terminated early in
certain circumstances. JPMorgan Chase Bank, National Association
may be required to deliver additional shares of common stock to
Ashland, or under certain circumstances, Ashland may be required to
deliver shares of common stock or to make a cash payment, at its
election.
About Ashland
Ashland Global Holdings Inc. (NYSE: ASH) is a premier specialty
materials company with a conscious and proactive mindset for
sustainability. The company serves customers in a wide range of
consumer and industrial markets, including adhesives, architectural
coatings, automotive, construction, energy, food and beverage,
nutraceuticals, personal care and pharmaceutical. Approximately
4,200 passionate, tenacious solvers – from renowned scientists and
research chemists to talented engineers and plant operators –
thrive on developing practical, innovative and elegant solutions to
complex problems for customers in more than 100 countries. Visit
www.ashland.com and www.ashland.com/sustainability to learn
more.
Forward-Looking Statements This
news release contains 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.
Ashland has identified some of these forward-looking statements
with words such as “anticipates,” “believes,” “expects,”
“estimates,” “is likely,” “predicts,” “projects,” “forecasts,”
“objectives,” “may,” “will,” “should,” “plans” and “intends” and
the negative of these words or other comparable terminology.
Ashland may from time to time make forward-looking statements in
its annual reports, quarterly reports and other filings with the
U.S. Securities and Exchange Commission (SEC), news releases and
other written and oral communications. These forward-looking
statements are based on Ashland’s expectations and assumptions, as
of the date such statements are made, regarding Ashland’s future
operating performance, financial condition, and expected effects of
the COVID-19 pandemic on Ashland’s business, as well as the economy
and other future events or circumstances. These statements include
but may not be limited to Ashland’s expectations regarding its
ability to drive sales and earnings growth and realize further cost
reductions. These statements include, but may not be limited to,
statements about the stock repurchase programs, including the
expected completion dates and dollar amounts of the repurchase.
Various risks and uncertainties may cause actual results to differ
materially from those stated, projected or implied by any
forward-looking statements, including Ashland’s ability to generate
sufficient cash to finance its stock repurchase program, any delay
in the receipt of regulatory approvals for the sale of the
performance adhesives business and or delay in the satisfaction of
other closing conditions. The extent and duration of the COVID-19
pandemic on our business and operations is uncertain. Factors that
will influence the impact on our business and operations include,
without limitation, risks and uncertainties affecting Ashland that
are described in its most recent Form 10-K (including Item 1A Risk
Factors) filed with the SEC, which is available on Ashland’s
website at http://investor.ashland.com or on the SEC’s website at
http://www.sec.gov. Ashland believes its expectations and
assumptions are reasonable, but there can be no assurance that the
expectations reflected herein will be achieved. Unless legally
required, Ashland undertakes no obligation to update any
forward-looking statements made in this news release whether
because of new information, future events or otherwise. Information
on Ashland’s website is not incorporated into or a part of this
news release.
™ Trademark, Ashland or its subsidiaries,
registered in various countries.
FOR FURTHER INFORMATION:
Investor
Relations:
Media Relations:Seth A.
Mrozek
Carolmarie C. Brown+1 (302)
594-5010
+1 (302)
995-3158samrozek@ashland.com
ccbrown@ashland.com
- Ashland announces $450 million accelerated share repurchase
program FNL 20210903
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