Beacon entered an accelerated share repurchase agreement (ASR) with Citibank N.A. to repurchase $125 million of Beacon’s common stock. The ASR accelerated Beacon’s progress under its $500 million share repurchase program the company announced February 24, 2022.
“Accelerating our share repurchase program affirms our commitment to delivering value to stockholders through disciplined capital allocation,” Julian Francis, president and CEO of Beacon, said in a news release.
Under the ASR, Beacon will make a pre-payment of $125 million to Citibank N.A. and will initially receive a prorated quantity of the company’s common stock on March 15. The final number of shares to be repurchased will be based on the daily volume-weighted average price of Beacon’s common stock during the term of the ASR, less a discount and subject to adjustments pursuant to the terms of the ASR. Beacon said it expects the final settlement of the ASR to be completed in the second quarter of 2022.
Herndon, Va.-based Beacon distributes roofing materials and complementary building products. The company operates over 400 branches throughout all 50 U.S. states and six Canadian provinces.
