By Chris Wack
Beauty Health Co. shares were up 14% to $11.81 after the company said its board of directors authorized a share repurchase program of up to $200 million.
In connection with the share repurchase authorization, the company said it has entered into an accelerated share repurchase agreement with JPMorgan Chase Bank to repurchase $100 million of its common stock.
Upon completion of the ASR, the company will have authorization to repurchase an additional $100 million of shares.
Beauty Health will make a payment of $100 million and will receive an initial delivery of 7.7 million shares of its stock on Thursday. The company expects to fund the repurchase with cash on-hand. The final settlement of the ASR is expected to occur during the first quarter of 2023.
Other repurchases under the share repurchase authorization may be made from time to time using a variety of methods, which may include open market purchases, privately negotiated transactions, other accelerated share repurchase programs, or otherwise.
Write to Chris Wack at chris.wack@wsj.com
