American Business Bank gets regulatory approval for $11.25m buyback

LOS ANGELES - American Business Bank (OTCQX:AMBZ), a $473 million market cap financial institution, announced Wednesday it has received regulatory approval to implement its second stock repurchase program, allowing the bank to buy back up to $11.25 million worth of its common stock. The announcement comes as the stock trades near its 52-week high of $52.99.

The program, which was previously authorized by the bank’s board of directors, will enable the repurchase of approximately 205,453 shares, representing about 2.3% of the bank’s outstanding common stock.

The stock buyback program will commence today and will remain in effect until August 27, 2026, unless completed or terminated earlier. Under the program, shares may be repurchased through open market transactions, block purchases, or privately negotiated transactions.

Leon Blankstein, Chief Executive Officer and Director of American Business Bank, noted that the first round of stock buybacks was "well received" and described the program as "an important tool for managing capital levels, improving shareholder returns and providing additional liquidity for shareholders to sell shares."

Management will determine the timing and volume of repurchases based on market conditions, stock trading prices, and the bank’s financial performance, according to the press release statement.

American Business Bank, headquartered in Los Angeles, provides financial services to businesses including wholesalers, manufacturers, service businesses, professionals, and non-profit organizations. The bank operates nine loan production offices throughout Southern California.

In other recent news, American Business Bank announced the completion of its stock repurchase program, successfully buying back 227,541 shares. This repurchase represents approximately 2.5% of its previously outstanding common stock, with an average acquisition price of $44.03 per share. Furthermore, the bank’s Board of Directors has authorized a new stock repurchase program aiming to buy back an additional 205,453 shares, which accounts for about 2.3% of its current outstanding common stock. The implementation of this new program is currently awaiting regulatory approval. These developments reflect the bank’s ongoing efforts to manage its capital structure.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.