MURRAY, Utah - FinWise Bancorp (NASDAQ: FINW), the holding company for FinWise Bank, has announced the launch of a stock repurchase program. The program authorizes the buyback of up to 641,832 shares, representing about 5% of the company's issued and outstanding common stock as of March 6, 2024.
The repurchases, which the company has the discretion to conduct through March 31, 2026, may occur in the open market, in privately negotiated transactions, or through other methods as per regulatory laws. However, FinWise Bancorp is not obligated to acquire any specific number of shares and may modify, suspend, or discontinue the program at any time.
Kent Landvatter, CEO of FinWise, stated, "As the Company remains well capitalized and continues to generate solid profitability, we are pleased that the Board of Directors has approved a new Share Repurchase Program."
He further explained that the company's strong financial position allows them to return capital to shareholders while still investing in their goal to become an integrated Fintech banking solutions provider.
The repurchase strategy is designed to be flexible, with the timing and extent of buybacks depending on various factors, including market conditions, regulatory requirements, and fund availability. The company may also use Rule 10b5-1 trading plans, which allow stock repurchases at times when they would typically be prohibited due to regulatory restrictions.
FinWise Bancorp has indicated that it will fund the repurchases from its available cash balances. The company is currently expanding its services to include BIN Sponsorship and Payments HUB offerings, aiming to solidify its position as a provider of integrated Fintech banking solutions.
The announcement is based on a press release statement from FinWise Bancorp and reflects the company's strategic move to enhance shareholder value while continuing its expansion in the Fintech space.
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