RingCentral, Inc. (NYSE: RNG), a leading provider of global enterprise cloud communications, video meetings, collaboration, and contact center solutions, today announced that its Board of Directors has authorized a share repurchase program under which RingCentral may repurchase up to $100 million of its outstanding Class A common stock.
“The Board’s decision to authorize the share repurchase program reflects our strong confidence in the continued success and long-term profitable growth of our business, which we believe is not reflected at the current market valuation,” said Vlad Shmunis, RingCentral’s founder, Chairman and CEO. “We are committed to driving long-term shareholder value with a disciplined capital allocation strategy that balances investing in our business for growth and opportunistically leveraging favorable market conditions as they arise.”
Repurchases under this program will be funded from our future cash flow generation, as well as from additional potential sources of cash including capped calls associated with previously redeemed convertible notes.
Under the program, share repurchases may be made at the Company’s discretion from time to time in open market transactions, privately negotiated transactions, or other means. The timing and number of shares repurchased under the program will depend on a variety of factors, including stock price, trading volume, and general business and market conditions. The authorization is effective until December 31, 2022. The Board will review the share repurchase program periodically and may authorize adjustments of its terms if appropriate.