CENTENNIAL, Colo. - National CineMedia, Inc. (NASDAQ:NCMI), the managing member of National CineMedia, LLC, which operates the largest cinema advertising platform in the United States, today announced the launch of a new share repurchase program.
The program, approved by the company's Board of Directors, authorizes the repurchase of up to $100 million of the company's common stock through April 1, 2027.
NCM Chief Executive Officer Tom Lesinski expressed the company's confidence in its business and the long-term prospects of its cinema advertising network. The repurchase plan is set to be funded by operating cash flow distributions from NCM LLC, with the company aiming to buy back shares at prevailing market prices.
The move comes as the company also seeks to invest capital in expanding its advertising network through strategic initiatives.
The share repurchase program will be conducted on an opportunistic basis, considering factors such as the company's performance, cash position, market conditions, and the stock's market price.
Repurchases may occur through various methods, including open market transactions, privately negotiated transactions, and potentially structured transactions, all subject to legal and market conditions. The company clarified that there is no set obligation to repurchase shares and that the program could be modified, suspended, or discontinued at any time.
National CineMedia, known for its Noovie® Show, boasts a significant presence in the cinema advertising sector, with a network that includes over 18,400 screens across more than 1,400 theaters in 190 Designated Market Areas®, encompassing the top 50 markets. The company's platform provides advertisers with access to a young and diverse audience through the engaging medium of movies.
The announcement includes forward-looking statements about the company's intentions regarding the share repurchase program, reminding investors of the inherent risks and uncertainties of such statements.
Factors that could influence the company's actual results include theater attendance, the film industry's production schedule, competition for ad spending, and overall economic conditions affecting cinema advertising perception and spending.
This share repurchase program is based on a press release statement from National CineMedia, Inc.
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