Fintech WEX jumps on tender offer plan to repurchase shares worth $750 million

WEX

25/02/2025 14:54

** Shares of fintech firm WEX WEX.N jump as much 9%; last up 6.5% at $158 in early trading

** WEX says it intends to launch a so-called "modified Dutch auction" tender offer to repurchase up to $750 million worth of common stock

** Such a tender offer allows shareholders to indicate how many shares and what price they wish to tender their shares

** Stock will be repurchased at a price between $148 and $170 per share, WEX says

** Company expects to execute one or more debt financing for gross proceeds of at least $750 million to fund the anticipated tender offer

** Earlier this month, company forecast its annual profit and revenue below analysts' estimates

** WEX has 38.8 million outstanding shares for $5.76 billion market cap as of last close, according to data compiled by LSEG

** As of last close, shares down 15.4% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)

 ((ArasuKannagi.Basil@thomsonreuters.com))