Wix Announces Court Approved Extension of Share Repurchase Program and Provides Update on Repurchase
Wix.com Ltd. (Nasdaq: WIX), a leading global SaaS platform to create, manage and grow an online presence, today announced that, on January 4, 2023, the Israeli court authorized the Company to extend the Company's repurchase program for an additional six months through July 4, 2023. This authorization provides for the repurchase of up to $110 million of Company ordinary shares and/or convertible notes. The Company may file extension requests with the court on an ongoing basis as required. This new authorization by the court replaces the prior repurchase authorization, which expired December 31, 2022.
Pursuant to the $300 million share repurchase program authorized by the board and announced on October 20, 2022, as of December 31, 2022, the Company repurchased 2,928,611 ordinary shares representing approximately 5% of the Company's total ordinary shares issued and outstanding, for an aggregate purchase price of $243 million, or an average price per share of $83. This new authorization by the court will allow the Company, from time to time in its discretion, to continue to repurchase the Company's ordinary shares up to the $57 million remaining balance under the approved repurchase program. The Company cannot repurchase securities beyond the amount authorized by the board and would need additional board authorization to use the entire $110 million authorized by the court.
"Our share repurchase activity to date demonstrates confidence in our ability to generate free cash flow and our ongoing commitment to managing dilution and increasing shareholder value," said Lior Shemesh, CFO of Wix.
Under the board authorized repurchase program, Company securities may be repurchased 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 and regulations. The repurchase program does not obligate the Company to acquire any particular amount of securities, and the repurchase program may be suspended or discontinued at any time at the Company's discretion. The Company may repurchase all or a portion of the authorized repurchase amount pursuant to a plan that is compliant with Rule 10b5-1 under the United States Securities Exchange Act of 1934, as amended, that is designed to facilitate these purchases. The actual timing, number and value of securities repurchased depend on a number of factors, including the market price of the Company's ordinary shares, general market and economic conditions and other corporate considerations.
About Wix.com Ltd.
Wix is a leading platform to create, manage and grow a digital presence. What began as a website builder in 2006 is now a complete platform providing users with enterprise-grade performance, security and a reliable infrastructure. Offering a wide range of commerce and business solutions, advanced SEO and marketing tools, Wix enables users to take full ownership of their brand, their data and their relationships with their customers. With a focus on continuous innovation and delivery of new features and products, anyone can build a powerful digital presence to fulfill their dreams on Wix.
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