Comtech Telecommunications Corp. today announced that its Board of Directors has authorized a new $100.0 million share repurchase program pursuant to which the Company may repurchase shares of its common stock from time to time in open market transactions at prevailing market prices, in privately negotiated transactions, or by other means in accordance with federal securities laws.
“Authorizing the use of our strong balance sheet for share repurchases demonstrates our confidence in the underlying value of our stock and our commitment to providing long-term value for our stockholders,” commented Fred Kornberg, Chairman and Chief Executive Officer of the Company.
Any repurchased shares will be available for various corporate purposes. There can be no assurance of how many shares will be repurchased, and the repurchase program may be suspended or discontinued at any time. The actual timing, number and value of shares repurchased under the program will depend on a number of factors, including general market and economic conditions, and applicable legal requirements. Purchases will be financed through the company’s cash balances.
The Company had approximately 24.9 million shares of common stock outstanding as of July 31, 2020, the last day of its most recently completed fiscal year. The new stock repurchase program has no time limit and replaces the Company’s prior stock repurchase program that had $8.7 million remaining out of an original authorized amount of $100.0 million.