Dallas , May 10, 2022 /PRNewswire/ — CECO Environmental Corp. (Nasdaq: CECE) (“CECO” or the “Company”), a leading green diversified industrial company whose solutions help protect people, the environment and industries, today announced that its board of directors (the “Board of Directors”) has approved a share buyback program under which CECO may repurchase up to 100 shares 20 million dollars of its outstanding common shares April 30, 2025.
Todd GleasonCECO Chief Executive Officer, commented: “CECO is uniquely positioned to deliver strong organic growth, increased profitability and strong free cash flow. We believe our current share price represents an attractive valuation for our capital allocation strategy. A prudent share buyback plan coupled with a focused acquisition program is an important enabler for optimizing long-term shareholder returns. The Board’s approval of our share buyback program reflects our confidence in the company’s strategic growth prospects CECO and the strength of our financial performance and balance sheet. “
The share buyback program is designed to return value to CECO shareholders, offset dilution from share issuance and reduce share count over time. That 20 million dollars Authorization represents approximately 12 percent of the outstanding shares based on the closing price of the stock $4.75 away May 4, 2022. The approval allows the Company to repurchase shares in the open market through accelerated share repurchases, block trades, 10b5-1 plans or through privately negotiated transactions in accordance with applicable laws, rules and regulations.
The timing and amount of future repurchases will be determined by the Company’s management in its sole discretion based on a number of factors, including ongoing assessments of the Company’s capital requirements, the market price of the Company’s common stock and general market considerations. The share buyback program can be changed, extended or terminated by the board of directors at any time.
ABOUT CECO ENVIRONMENT
CECO Environmental is a global leader in industrial air quality and water treatment, serving a diversified set of niche markets through an attractive asset-light business model. CECO provides innovative technology and application expertise, helping companies grow their business with safer, cleaner and more efficient solutions that help protect our shared environment. In regions around the world, CECO works to improve air quality, optimize the energy value chain and provide custom systems for applications such as power generation, petrochemical processing, general industry, refining, midstream oil and gas, electric vehicle production, polysilicon manufacturing, battery recycling and wastewater treatment, as well as a wide range of other applications. CECO is listed on the Nasdaq under the ticker symbol “CECE”. Visit www.cecoenviro.com for more information.
All statements contained in this press release, other than statements of historical fact, including statements regarding management’s beliefs and expectations, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, both in of the amended version, and should be assessed as such. These statements are based on management’s beliefs and assumptions regarding future events and business developments. We use words such as “believe”, “expect”, “anticipate”, “intend”, “estimate”, “forecast”, “project”, “will”, “plan”, “should” and similar expressions to mean forward-looking identify -looking statements. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Potential risks and uncertainties that could, among other things, cause actual results to differ materially are discussed in “Part I – Item 1A. Risk Factors” of CECO’s Annual Report on Form 10-K for the past financial year December 31, 2021 and include, but are not limited to: the sensitivity of our business to economic and financial market conditions generally and economic conditions in CECO’s service businesses; dependence on fixed price contracts and the risks involved, including actual costs exceeding estimates and method of recognizing revenue; the impact of growth on CECO’s infrastructure, resources and existing revenues; the ability to expand operations in both new and existing markets; the possibility of contract delay or cancellation as a result of ongoing or worsening supply chain challenges; Liabilities arising from defective services or products that could give rise to substantial professional or product liability, warranty or other claims; changes or developments relating to litigation or investigations; failure to meet timely standards of completion or performance, which may result in higher costs and lower profits or, in some cases, losses on projects; the potential for price fluctuations for manufactured components and raw materials, including as a result of tariffs and surcharges; the substantial amount of debt incurred in connection with our strategic transactions and our ability to repay or refinance them or incur additional debt in the future; the effects of federal, state or local government regulations; our ability to repurchase shares of our common stock and the amounts and timing of repurchases, if any; general economic and political conditions; our ability to successfully realize the anticipated benefits of our restructuring program; our ability to successfully integrate acquired businesses and realize synergies from strategic transactions; and the unpredictability and severity of catastrophic events, including cyber security threats, acts of terrorism or outbreaks of war or hostilities, or public health crises, such as ) and management’s response to any of the above factors. Many of these risks are beyond management’s ability to control or predict. Should one or more of these risks or uncertainties materialize, or should assumptions prove incorrect, actual results may vary in material respects from those currently anticipated. Investors are cautioned not to place undue reliance on any such forward-looking statements, which reflect our views only as of the date made. In addition, forward-looking statements speak only as of the date they are made. Except as required by federal securities laws or the rules and regulations of the Securities and Exchange Commission, we undertake no obligation to update or review any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE CECO Environmental Corp.