Tech News Summary:
- Creative Medical Technology Holdings, Inc. has announced a share buyback program of up to $2 million of its common shares.
- The form, timing, and amount of any purchase will be based on an evaluation of market conditions, the price of the company’s shares, and other factors.
- The announcement is seen as a sign of the company’s confidence in its future prospects but some view it as funds that could be better used for growth initiatives.
Creative Medical Technology Holdings Inc., a leading biotechnology company specializing in regenerative medicine, has announced the launch of a $2 million share repurchase program. The program aims to boost investor confidence by returning capital to shareholders and enhancing the company’s financial position.
As part of the program, Creative Medical Technology will repurchase up to 10% of its outstanding common shares at market prices in the open market or in privately negotiated transactions. The company’s management team believes that repurchasing shares at current market prices presents an attractive investment opportunity that will benefit shareholders and support the long-term growth of the company.
According to Timothy Warbington, CEO of Creative Medical Technology, “This share repurchase program demonstrates our continued commitment to creating value for our shareholders. We believe our shares are currently undervalued, and the repurchase program is an effective and prudent way to deploy capital to drive shareholder value.”
The company’s decision to launch the share repurchase program comes on the heels of a number of recent positive developments. Creative Medical Technology recently received FDA approval to conduct a clinical trial of its AmnioStem stem cell therapy for the treatment of erectile dysfunction. The company has also secured patent protection for its patented regenerative medicine platform, CaverStem.
The share repurchase program has been well-received by investors, with shares of Creative Medical Technology rising more than 5% in premarket trading. The company plans to fund the share repurchase program using available cash on hand and cash generated from future operations.
Overall, the share repurchase program is a positive development for Creative Medical Technology and its investors, providing support for the company’s long-term growth and strengthening its financial position.