JOHNS CREEK, GA – February 6, 2017 – Ebix, Inc. (NASDAQ: EBIX), a leading international supplier of On-Demand software and E-commerce services to the insurance, financial, e-governance and healthcare industries, today announced that its Board of Directors has approved a new $150 million share repurchase plan. This new share repurchase plan is in addition to two previously authorized share repurchase plans adding up to $200 million, which are nearing full utilization now.
Since August 2014, the Company has repurchased 6.8 million shares for approximately $190 million. As a result of continued share repurchases over the last few years, the Company's diluted share count is now approximately 31.9 million shares.
The Company and its Board of Directors made the decision to put in place another $150 million share repurchase program after reviewing the Company's present cash reserves, its anticipated operating cash flows, its credit line and the Company's prospective uses of cash for any working capital needs and acquisitions.
Robin Raina, President and CEO, Ebix Inc., said, "We continue to believe that opportunistically buying back our stock is a great use of the cash generated in our businesses. Since August 2014, the Company has bought 6.8 million shares at an average price of approximately $28 per share. We also believe that we can enhance shareholder value by making accretive acquisitions, continuing the quarterly dividends and buying back our stock from the open market, in addition to continuing the fund our organic growth initiatives. In our view, buying back our own stock is one of the most accretive ways of enhancing shareholder value.”
Shares of common stock may be purchased under the program from time to time on the open market and in privately negotiated transactions, subject to banking covenants, and other customary legal, contractual and regulatory considerations. All share repurchases will continue to be done in accordance with Rule 10b-18 of the Securities Exchange Act of 1934 with respect to the timing, pricing, and volume of such transactions.
A leading international supplier of On-Demand software and E-commerce services to the insurance, financial, e-governance and healthcare industries, Ebix, Inc. provides end-to-end on-Demand solutions ranging from infrastructure exchanges, front end & back end enterprise systems, outsourced administrative & custom software development solutions, and risk compliance solutions for various entities involved in these industries.
With 40+ offices across Australia, Brazil, Canada, India, New Zealand, Singapore, the US and the UK, Ebix powers multiple exchanges across the world in the field of life, annuity, health and property & casualty insurance while conducting in excess of $100 billion in insurance premiums annually on its platforms. Through its various SaaS-based software platforms, Ebix employs hundreds of domain specific business and technology professionals to provide products, support and consultancy to thousands of customers on six continents. For more information, visit the Company’s website at www.ebix.com