LifeVantage Announces Share Repurchase Program and Accelerated Debt Retirement
Company Authorizes $6 Million Debt Buy Down and Share Repurchase Program
SALT LAKE CITY, March 11, 2014 (GLOBE NEWSWIRE) -- LifeVantage Corporation
(Nasdaq:LFVN), a company dedicated to helping people achieve healthy living
through a combination of a compelling business opportunity and scientifically
validated products, today announced that its Board of Directors approved an
initial $6 million that will be used for an accelerated debt pay down and
common stock repurchase program. The Company will fund up to $3 million in
stock repurchases with the remainder being used to accelerate the pay down of
debt, through cash on hand and future cash flow from operations.
Douglas C. Robinson, President and Chief Executive Officer of LifeVantage
stated, "We believe that utilizing our strong balance sheet and cash flow from
operations to continue repurchasing stock, when appropriate, and
simultaneously accelerating our debt payments will enhance long-term
shareholder value for our Company. We are able to implement these accelerated
debt pay down and additional stock repurchase initiatives while maintaining
ample capital to continue investing in our previously announced strategic
initiatives of product development, geographic expansion and strengthening
marketing. We feel the combination of these initiatives will have a positive
impact on our operational performance in the future."
As of December 31, 2013, the Company's cash and cash equivalents were $34.5
million and total debt was $47 million.Over the past 15 months, the Company
has repurchased $50 million of its stock.
The repurchase program permits LifeVantage to purchase shares from time to
time through a variety of methods, including in the open market, through
privately negotiated transactions or other means as determined by the
company's management, in accordance with applicable securities laws. As part
of the repurchase program, the Company expects that it will enter into a
pre-arranged stock repurchase plan which will operate in accordance with
guidelines specified under Rule 10b5-1 of the Securities Exchange Act of 1934.
Accordingly, transactions, if any, under the pre-arranged repurchase plan
would be completed in accordance with the terms of the stock repurchase plan,
including specified price, volume and timing conditions.
About LifeVantage Corporation
LifeVantage Corporation (Nasdaq:LFVN), a leader in Nrf2 science and the maker
of Protandim®, the Nrf2 Synergizer® patented dietary supplement, TrueScience®
Anti-Aging Cream and LifeVantage® Canine Health, is a science based network
marketing company. LifeVantage is dedicated to visionary science that looks to
transform wellness and anti-aging internally and externally with products that
dramatically reduce oxidative stress at the cellular level. LifeVantage was
founded in 2003 and is headquartered in Salt Lake City, Utah.
Forward Looking Statements
This document contains forward-looking statements made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995.
Words and expressions reflecting optimism, satisfaction or disappointment with
current prospects, as well as words such as "believe," "hopes," "intends,"
"estimates," "expects," "projects," "plans," "anticipates," "look forward to"
and variations thereof, identify forward-looking statements, but their absence
does not mean that a statement is not forward-looking. Examples of
forward-looking statements include, but are not limited to, statements we make
regarding our operating income, cash flow from operations, the amount of stock
we will repurchase in this offering and future investment and growth. Such
forward-looking statements are not guarantees of performance and the Company's
actual results could differ materially from those contained in such
statements. These forward-looking statements are based on the Company's
current expectations and beliefs concerning future events affecting the
Company and involve known and unknown risks and uncertainties that may cause
the Company's actual results or outcomes to be materially different from those
anticipated and discussed herein. These risks and uncertainties include, among
others, those discussed in greater detail in the Company's Annual Report on
Form 10-K and the Company's Quarterly Report on Form 10-Q under the caption
"Risk Factors," and in other documents filed by the Company from time to time
with the Securities and Exchange Commission. The Company cautions investors
not to place undue reliance on the forward-looking statements contained in
this document. All forward-looking statements are based on information
currently available to the Company on the date hereof, and the Company
undertakes no obligation to revise or update these forward-looking statements
to reflect events or circumstances after the date of this document, except as
required by law.
CONTACT: Investor Relations Contact:
Cindy England (801) 432-9036
Director of Investor Relations
John Mills (310) 954-1105
Partner, ICR, LLC
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