Harbor Custom Development, Inc has announced that its board of directors has approved a new stock repurchase program authorizing the repurchase of up to $5 million worth of shares beginning November 22, 2021, and continuing through May 22, 2022.
The amount of the repurchase program represents approximately 17% of the outstanding shares of its common stock valued at the closing price on November 3, 2021, it added.
“The board’s decision to authorize a stock repurchase plan demonstrates their confidence in Harbor’s business and growth opportunities we see over the long term,” president and CEO Sterling Griffin said in a statement.
READ: Harbor Custom Development reports estimated 3Q net income of $3.6M
Harbor said investment bank and institutional securities firm, Piper Sandler, will facilitate the stock repurchases. The plan allows the company to execute trades during periods when it would ordinarily not be permitted to do so because it may be in possession of material non-public information because of insider trading laws or self-imposed trading blackout periods.
Piper Sandler has the authority, under the prices, terms, and limitations set out in the plan, to execute the repurchases of the shares, which will be retired and returned to authorized but unissued status.
Harbor is a real estate development company involved in all aspects of the land development cycle including land acquisition, entitlements, construction of project infrastructure, home building, marketing, sales, and management of various residential projects in Western Washington's Puget Sound region; Sacramento, California; and Austin, Texas.
The company’s business strategy is to acquire and develop land strategically, based on an understanding of population growth patterns, entitlement restrictions, infrastructure development, and geo-economic forces. It focuses on real estate within target markets with convenient access to metropolitan areas that are generally characterized by diverse economic and employment bases and increasing populations.
Contact the author at stephen.gunnion@proactiveinvestors.com