Summary
First Citizens BancShares, Inc. (FCNCA) announced on January 28, 2020, a new authorization from its Board of Directors for the repurchase of up to 500,000 shares of its Class A common stock. This new repurchase program is set to run from February 1, 2020, through April 30, 2020, and it supersedes a previous authorization that expired on January 31, 2020. The company retains flexibility in executing these repurchases, allowing for open market or privately negotiated transactions, and importantly, it is not obligated to purchase any specific number of shares, with the ability to suspend or discontinue the program at any time. This share repurchase authorization signals management's confidence in the company's financial position and its commitment to returning value to shareholders. Investors should note that while the authorization sets a ceiling for repurchases, the actual volume and timing will depend on market conditions and the company's strategic considerations. The company also maintains a stock trading plan under Rule 10b5-1, which provides a structured framework for executing these buybacks.
Key Highlights
- 1New share repurchase authorization for up to 500,000 Class A common shares approved.
- 2Repurchase period: February 1, 2020, through April 30, 2020.
- 3Supersedes a prior share repurchase authorization that expired January 31, 2020.
- 4Repurchases may occur on the open market or through privately negotiated transactions.
- 5The company is not obligated to acquire a specific number of shares.
- 6The company can suspend or discontinue the repurchase program at any time.
- 7A stock trading plan under Rule 10b5-1 is in place.