Light & Wonder Launches New Share Repurchase Program
Following the successful completion of its prior initiative, Light & Wonder has announced a new share repurchase program, set to run until June 12, 2027.
Stock Performance
The previous program, which allowed the company to repurchase up to $750 million of its common shares, was scheduled to expire in February 2025 but was fully utilized ahead of schedule.
During this period, Light & Wonder repurchased 11.2 million shares, representing 11.5% of its outstanding shares at the program’s start, at an average purchase price of $66.72 per share. T
his price reflects a 28% discount to the closing price of $92.35 on June 13.
Light & Wonder has experienced a strong stock performance recently, with a 15.47% gain over the past six months and a 41.51% increase over the past year. This positive trend underscores the company’s strategic decisions and robust operational performance.
New Program to Enhance Value Creation
CEO Matt Wilson expressed his satisfaction with the board’s approval of a “new, upsized” share repurchase program, emphasizing its role in executing the company’s growth strategy and returning meaningful capital to shareholders. “With strong operating performance continuing across the business, we remain on track to achieve our $1.4 billion consolidated AEBITDA target for 2025 while continuing to invest for the future,” Wilson stated.
CFO Oliver Chow highlighted the company’s solid financial position, noting, “Given the continued momentum in the business, and our 31 March 2024 net debt leverage ratio at the middle of our target range of 2.5x – 3.5x, we have significant optionality with regards to capital allocation.” Chow added that the prior program was an effective value creation tool, and the new program aims to deliver further value to shareholders, underscoring the company’s commitment to driving profitable growth beyond 2025.
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