Global Payments initiates $250M accelerated share buyback

Published 14/02/2025, 16:02
Global Payments initiates $250M accelerated share buyback

Global Payments Inc. (NYSE:GPN), a leader in payment technology and software solutions, has announced the commencement of an accelerated share repurchase (ASR) program on Thursday.

The company is set to repurchase $250 million of its common stock, following a board-approved share repurchase plan. According to InvestingPro analysis, the company appears undervalued at its current market capitalization of $26.5 billion, with a P/E ratio of 17.7x.

Under the terms of the ASR, Global Payments will receive approximately 1.92 million shares on Tuesday, February 18, 2025. The final number of shares repurchased will be determined by the volume-weighted average price of the company’s stock during the repurchase period, accounting for a negotiated discount and possible adjustments.

The ASR arrangement is expected to be completed by March 31, 2025. This move is part of Global Payments' strategy to return value to its shareholders and is aligned with the company's capital allocation policies.

The execution of this repurchase underscores the company's financial strength and the board's confidence in the long-term value proposition of its business. It also reflects the company's commitment to managing its capital efficiently while maintaining a strong balance sheet.

Global Payments, headquartered in Atlanta, Georgia, operates across multiple countries offering a comprehensive range of payment solutions and is recognized for its commitment to innovation in the fintech industry.

The information in this article is based on a press release statement from Global Payments Inc. and reflects the company's activities as of February 13, 2025, with the formal announcement made today.

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

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