Nexstar Media Group Board of Directors Authorizes $100 Million Expansion of Share Repurchase Program
June 12 2017 - 6:04AM
Business Wire
Action Follows $48.7 Million of Share
Repurchases in 2017 Second Quarter which Depleted Balance of Prior
$100 Million Authorization
Nexstar Media Group, Inc. (Nasdaq:NXST) announced today that its
Board of Directors has approved an expansion of the Company’s share
repurchase authorization to repurchase up to an additional $100
million of its Class A common stock. During the second quarter of
2017, the Company repurchased approximately 839,000 shares of its
Class A common stock at an average purchase price of approximately
$58.10 per share for a total cost of $48.7 million, which depleted
the balance of its prior $100 million share repurchase
authorization.
Perry A. Sook, Chairman, President and Chief Executive Officer
of Nexstar Media Group, Inc. commented, “The expanded repurchase
authorization reflects our confidence in the Company's growing free
cash flow from operations and our focus on deploying capital in a
manner that best serves our shareholders.
“With the operating momentum across our business Nexstar remains
on track to meet our target for average annual free cash flow in
the 2017/2018 cycle of approximately $565 million (before the
impact of $47.7 million of one-time transaction expenses). As such,
we have the financial flexibility to take a range of actions to
enhance shareholder value including our return of capital
initiatives through the quarterly cash dividend and share
repurchases, leverage reduction and pursuing opportunistic,
accretive tuck-in acquisitions.”
Repurchases by the Company will be subject to available
liquidity, general market and economic conditions, alternate uses
for the capital and other factors. Share repurchases may be made
from time to time in open market transactions, block trades or in
private transactions in accordance with applicable securities laws
and regulations and other legal requirements, including compliance
with the Company’s finance agreements. There is no minimum number
of shares that the Company is required to repurchase and the
repurchase program may be suspended or discontinued at any time
without prior notice. All shares purchased will be held in the
Company’s treasury for possible future use. The Company anticipates
funding any share repurchases from its cash flow from
operations. Reflecting the repurchases in the second quarter
of 2017, Nexstar has approximately 46.4 million shares of Class A
common stock outstanding (the only class of shares
outstanding).
About Nexstar Media Group, Inc.
Nexstar Media Group is a leading diversified media company that
leverages localism to bring new services and value to consumers and
advertisers through its traditional media, digital and mobile media
platforms. Nexstar owns, operates, programs or provides sales and
other services to 170 television stations and related digital
multicast signals reaching 100 markets or nearly 39% of all U.S.
television households. Nexstar’s portfolio includes primary
affiliates of NBC, CBS, ABC, FOX, MyNetworkTV and The CW. Nexstar’s
community portal websites offer additional hyper-local content and
verticals for consumers and advertisers, allowing audiences to
choose where, when and how they access content while creating new
revenue opportunities. For more information please visit
www.nexstar.tv.
Forward-Looking Statements
This communication includes forward-looking statements. We have
based these forward-looking statements on our current expectations
and projections about future events. Forward-looking statements
include information preceded by, followed by, or that includes the
words "guidance," "believes," "expects," "anticipates," "could," or
similar expressions. For these statements, Nexstar claims the
protection of the safe harbor for forward-looking statements
contained in the Private Securities Litigation Reform Act of 1995.
The forward-looking statements contained in this communication,
concerning, among other things, future financial performance,
including changes in net revenue, cash flow and operating expenses,
involve risks and uncertainties, and are subject to change based on
various important factors, including the impact of changes in
national and regional economies, the ability to service and
refinance our outstanding debt, successful integration of acquired
television stations and digital businesses (including achievement
of synergies and cost reductions), pricing fluctuations in local
and national advertising, future regulatory actions and conditions
in the television stations' operating areas, competition from
others in the broadcast television markets, volatility in
programming costs, the effects of governmental regulation of
broadcasting, industry consolidation, technological developments
and major world news events. Nexstar undertakes no obligation to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise. In light of
these risks, uncertainties and assumptions, the forward-looking
events discussed in this communication might not occur. You should
not place undue reliance on these forward-looking statements, which
speak only as of the date of this release. For more details on
factors that could affect these expectations, please see Nexstar’s
other filings with the SEC.
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version on businesswire.com: http://www.businesswire.com/news/home/20170612005271/en/
Nexstar Media Group, Inc.Thomas E. Carter, 972-373-8800Chief
Financial OfficerorJCIRJoseph Jaffoni / Jennifer
Neuman212-835-8500nxst@jcir.com
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