Guardian Pharmacy Services buys back Class A shares

Published 20/05/2025, 21:14
Guardian Pharmacy Services buys back Class A shares

Guardian Pharmacy Services, Inc., a retail drug store chain with a market capitalization of $1.68 billion, announced on Tuesday that it has entered into stock purchase agreements with certain shareholders. These agreements stipulate the repurchase of up to 1,457,365 shares of its Class A common stock, originally converted from Class B stock during the company’s reorganization in September 2024. According to InvestingPro analysis, the company’s stock is currently trading near its 52-week high of $26.91, suggesting strong market confidence.

The repurchase is structured as a private, non-underwritten transaction, funded by the proceeds from a concurrent underwritten public offering of Class A common stock. The agreed repurchase price per share will match the public offering price, minus the underwriting discount. The stock has shown remarkable momentum, gaining 7.63% in the past week and 65.75% over the last year.

Additionally, the agreements include a lock-up provision preventing the selling shareholders from disposing of any additional common stock for 150 days post-closing. This provision will replace any prior lock-up agreements dated March 24, 2025, which will terminate upon closing of the new purchase agreements.

The company, headquartered in Atlanta, Georgia, and incorporated in Delaware, has detailed the terms of this transaction in a form of Stock Purchase Agreement, which is included as Exhibit 10.1 in the SEC filing.

Guardian Pharmacy Services has not disclosed the specific reasons for the stock repurchase or the impact it may have on the company’s financials or market position. The transaction is subject to customary closing conditions.

This news comes as the company’s latest strategic financial move, as outlined in the SEC Form 8-K filing dated May 20, 2025. The document was signed by David K. Morris, Executive Vice President and Chief Financial Officer of Guardian Pharmacy Services, Inc.

In other recent news, Guardian Pharmacy Services reported a notable increase in their first-quarter 2025 earnings. The company’s revenue reached $329.3 million, reflecting a 20% year-over-year growth, with earnings per share (EPS) recorded at $0.15. Guardian Pharmacy has provided optimistic guidance for the remainder of the year, expecting revenues to fall within the upper half of their $1.33 billion to $1.35 billion projection. Additionally, Guardian Pharmacy announced the acquisition of Senior Care Pharmacy in Wichita, Kansas, as part of its ongoing expansion strategy. This acquisition aims to strengthen Guardian’s presence in the Kansas market, complementing their existing Kansas City location.

Guardian Pharmacy’s CEO, Fred Burke, expressed confidence in the company’s growth trajectory, emphasizing their commitment to sustainable long-term value for shareholders. The company continues to focus on acquisitions and integration of new pharmacies, which contributed to a 15% increase in resident count, now totaling approximately 189,000. Analyst firms have not reported any upgrades or downgrades for Guardian Pharmacy, but the company’s outlook remains positive. Furthermore, Guardian plans to launch new pharmacies in several cities, including Columbus (WA:CLC) and Oklahoma City, as part of their expansion efforts.

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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