Dave Inc. has just announced a $50 million share repurchase authorization, reflecting the company's confidence in its financial strength, long-term growth potential, and ability to generate free cash flow. The program, which does not have a fixed expiration date, may be executed based on market conditions, liquidity, and other strategic considerations.
The company's Chief Financial Officer, Kyle Beilman, stated that the board's approval of the share repurchase program reflects their belief that share repurchases are an effective capital allocation tool, providing an opportunity to enhance shareholder value. Given their current valuation, liquidity position, and optimistic outlook for cash generation, they believe it is an opportune time to implement this program.
Under the authorization, the company may repurchase shares through open market transactions and privately negotiated transactions, in compliance with applicable laws and regulations. The timing, manner, and total amount of repurchases will be determined by management based on market conditions, stock price, business performance, and alternative investment opportunities.
This announcement comes as Dave Inc. continues to establish itself as a leading U.S. neobank and fintech pioneer, serving millions of everyday Americans. Today the company's shares have moved -3.1% to a price of $80.77. For more information, read the company's full 8-K submission here.
