Helen of Troy Limited (NASDAQ:HELE), designer, developer and worldwide marketer of consumer brand-name housewares, health and home and beauty products, today announced that its Board of Directors has authorized the repurchase of $400 million of its outstanding common shares (“common stock” or “shares”) in keeping with its stated intention to opportunistically return to shareholders capital not otherwise deployed for core business growth or strategic acquisitions. This new authorization is effective May 8, 2019, for a period of three years, and replaces Helen of Troy’s existing repurchase authorization, of which approximately $110 million remained.
Helen of Troy may purchase shares on a discretionary basis from time to time through open market purchases, privately negotiated transactions or other means, including through Rule 10b5-1 trading plans. The timing and amount of any transactions will be subject to the discretion of Helen of Troy and may be based upon market conditions as well as other opportunities that Helen of Troy may have for the use or investment of its capital. The repurchase program does not require the purchase of any minimum number of shares and may be implemented, modified, suspended or discontinued in whole or in part at any time without further notice.
In total, the $400 million share repurchase plan represents approximately 11% of the Company’s outstanding common stock, based upon the Company’s closing price on May 8, 2019. As of April 22, 2019 Helen, of Troy had approximately 25 million shares outstanding.
Julien R. Mininberg, Chief Executive Officer, stated: “Helen of Troy continues to execute from a healthy financial position, operating with a low debt leverage ratio and generating approximately $200 million in cash flow from operations in fiscal 2019. Based on the strength of our balance sheet, coupled with our long-term outlook, we believe our cash flow generation allows us to deploy capital in line with our capital strategy, which is to invest in support of our long-term growth, make strategic acquisitions, and opportunistically repurchase our common shares. We are confident in our long-term growth prospects, which are fueled by the success of Phase I of our Transformation Strategy and the opportunities we see ahead of us in Phase II.”
About Helen of Troy Limited
Helen of Troy Limited (NASDAQ: HELE) is a leading global consumer products company offering creative solutions for its customers through a strong portfolio of well-recognized and widely-trusted brands, including OXO, Hydro Flask, Vicks, Braun, Honeywell, PUR, and Hot Tools. All trademarks herein belong to Helen of Troy Limited (or its affiliates) and/or are used under license from their respective licensors.
For more information about Helen of Troy, please visit https://investor.hotus.com/
