Hi-Crush has approved a stock repurchase programme of up to $25 million, effective immediately and authorised through 30 June 2020.
Robert E. Rasmus, chairman of Hi-Crush, says: "The Board authorised repurchase program and the recent purchases of shares by management reflect ongoing confidence in our strategy and strength of our balance sheet, and represents nearly 15% of our outstanding shares at last week's closing price. We are committed to executing the program, and current prices and valuations provide an attractive basis for repurchase."
As of 7 June 2019, Hi-Crush had $53.7 million of cash and $55.0 million in available borrowing capacity under the ABL Facility, resulting in total liquidity of $108.7 million. As of 7 June 2019, the Company had no borrowings under the ABL Facility, and was in compliance with the terms and conditions under all credit agreements.
Laura C. Fulton, chief financial officer of Hi-Crush, says: "Our balance sheet remains very well-positioned to support ongoing strategic and accretive initiatives, including returning capital to our shareholders through the stock repurchase program, while maintaining strong liquidity and financial flexibility. We continue to benefit from the proactive actions we took last year to further strengthen our balance sheet, including having no maintenance covenants in our debt agreements and no maturities until 2026. The repurchase program will be funded from existing cash generated from the business, potential reductions in our capex spending and future free cash flow."
