Ebix, Inc. (NASDAQ: EBIX), a leading international supplier of On-Demand software and E-commerce services to the insurance, financial and healthcare industries, today announced that its Board of Directors has approved a new $100 million share repurchase plan. This new share repurchase plan is in addition to the previously authorized $100 million share repurchase plan which is nearing full utilization.
Since August 2014, the Company repurchased 4.3 million shares for approximately $90 million against the previously announced $100 million share repurchase plan. As a result of continued share repurchases during the third quarter, the Company's diluted share count is now approximately 34.35 million shares.
The Company and its Board of Directors made the decision to put in place another $100 million share repurchase program after reviewing the Company's present cash reserves, its anticipated operating cash flows, its credit line and the Company's prospective uses of cash for any working capital needs and acquisitions.
Robin Raina, President and CEO, Ebix Inc., said, "We are pleased that we were able to exceed our goal of returning $80 million to shareholders through our share repurchase plan over the last 12 months. We are focused on continuing to use our strong cash generation capabilities in order to enhance shareholder value, and we intend to continue to be opportunistic in buying back our stock as we execute against our new share repurchase plan. In addition, our acquisition pipeline remains active and our expanded bank line gives us additional flexibility to execute on accretive acquisitions that are a good fit with Ebix's product strategy and market focus."
Shares of common stock may be purchased under the program from time to time on the open market and in privately negotiated transactions, subject to banking covenants, and other customary legal, contractual and regulatory considerations. All share repurchases will continue to be done in accordance with Rule 10b-18 of the Securities Exchange Act of 1934 with respect to the timing, pricing, and volume of such transactions.