Baozun has expanded its share repurchase authorization by $80M in addition to the previously approved $175M.
The firm bought back ~28.4M of Class A ordinary shares between May 2021 to March 24, 2022 as part of its share repurchase programs approved in 2021, bringing the total remaining authorization to ~$86.8M.
It may repurchase its outstanding ADSs, each representing three Class A ordinary shares, and/or Class A ordinary shares over the next 12 months starting from Mar. 25, 2022.
The repurchases will be funded from its existing cash balance.
Additionally, Baozun Chairman and Chief Executive Officer Vincent Qiu and Co-founder and Director Junhua Wu plan to use their personal funds to purchase up to $5M of the company’s ADSs or Class A ordinary shares in the open market for the next 12 months.
BZUN shares are up 10.34% pre-market.
Author: Preeti Singh, Seeking Alpha