Investing.com - Build-A-Bear Workshop Inc (NYSE:BBW). has completed its strategic review and decided to buyback up to $20 million of its own shares.
The company will purchase shares in the open market or through privately negotiated transactions, using cash on hand for the purchases. The timing and amount of share repurchases will be based on market conditions. The program may be modified, suspended or terminated at any time without prior notice. Shares repurchased under the program will be subsequently retired.
Commenting on the repurchase, Build-A-Bear’s CEO Sharon Price John stated: “Adoption of the share repurchase program reflects our belief that our stock represents an attractive investment opportunity.The company has returned to sustained profitability and has strong cash flow and a flexible capital structure. We believe Build-A-Bear Workshop will have the capacity to repurchase our stock while still deploying capital to facilitate the attainment of our next stated objective of sustained profitable growth.
The company started a strategic review in May 2016, saying that it would consider "all" options to boost shareholder equity, including a sale. Price noted that the strategic review was “comprehensive” but she did not provide further details.