Innospec Initiates a $40 Million Share Repurchase Program
Innospec Inc. (Nasdaq: IOSP) today announced that its board of directors has approved an increase in the amount of shares that are subject to buy back under the company's stock repurchase program. The increased plan will permit the repurchase of shares of common stock in the open market in an aggregate of $40 million in 2011. Repurchases under the plan will continue to be made in compliance with Rules 10b5-1 and/or10b-18 and are expected to commence on September 12, 2011.
Patrick Williams, President and Chief Executive Officer said,
"Following a strong second quarter performance in 2011 and earlier sequential gains, we are confident that our business momentum and proven strategy will enable us to continue to deliver strong profit and cash flow. We believe that our current share price significantly undervalues the company and its prospects, and, therefore, under our balanced capital management program, we feel that strategic share repurchases are a prudent use of capital. Our aggressive strategy combines organic growth with acquisitions and remains unchanged. With our current cash position, we feel we should be able to continue to drive this strategy and share repurchases in parallel."
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.