Cision PR Newswire
Max Stock Limited Announces Stock Buyback Plan
News provided byMax Stock Limited
Jun 19, 2022, 2:18 AM ET
CAESAREA, Israel, June 19, 2022 /PRNewswire/ -- Max Stock Limited (TASE: MAXO); (the "Company", "Max Stock") today announced that on June 18, 2022, the Company's board of directors approved for the Company to implement a stock buyback plan effective as of June 19, 2022 until June 18, 2023 (the "stock buyback plan"). The total allocated budget for the stock buyback plan is up to ILS 40 million.
As part of its resolution to approve the repurchases, the Company's board of directors concluded that the Company satisfies the distribution tests under Section 302 of the Israel Companies Law, 1999 and that there is no restriction to perform the contemplated repurchases. The Company's distributable profits under Section 302 total ILS 155.7 million.
The board assessed that in light of the market price of the Company's shares, the repurchases are an appropriate investment of the above-stated amounts of the Company's cash balances. The Company's board assessed that the repurchase of the Company's shares may facilitate an increase in return for the Company's shareholders and is an expression of faith in the Company. The Company's board has also assessed that the repurchases will not materially adversely impact the Company's financial position and its business plans as disclosed in the past, including the Company's liquidity, capital structure, leverage and ability to maintain its current operations.
The repurchases are not anticipated to constitute a tax event for the Company or its shareholders, other than for those shareholders who are selling their stock according to the specifics of each transaction. The Company may execute the repurchases either through purchases executed on the TASE exchange or through OTC/off-exchange transactions, at its discretion.
About Max Stock
Max Stock is Israel's leading extreme value retailer, currently present in 55 locations throughout Israel. Max Stock offers a broad assortment of quality products for customers' everyday needs at affordable prices, helping customers "Dream Big, Pay Small". For more information, please visit https://ir.maxstock.co.il
This is an English translation of segments of a Hebrew immediate report that was published on June 19, 2022 (Ref. No: 2022-01-061923) (hereinafter: the "Hebrew Version"). This English version is only for convenience purposes. This is not an official translation and has no binding force. In the event of any discrepancy between the Hebrew Version and this translation, the Hebrew Version shall prevail.
Chief Corporate Development and IR Officer
Ifat Nir Katz,
General Counsel and Corporate Secretary
SOURCE Max Stock Limited