Fiverr announces a $100 million share repurchase program, pending creditor approval, to optimize shareholder value and capital strategy.
Quiver AI Summary
Fiverr International Ltd. announced on March 10, 2025, that its Board of Directors has approved an additional $100 million for its share repurchase program, aligning with the company's strategy to enhance shareholder value, optimize its balance sheet, and pursue growth initiatives. President and CFO Ofer Katz expressed confidence in the company's financial position and plans to pay down convertible notes due in November 2025 while engaging in share repurchases as part of its broader capital allocation strategy. The program is subject to potential objections from creditors until April 10, 2025, after which it may proceed if no objections are raised. The buybacks will occur based on market conditions and the company retains the discretion to modify or discontinue the program at any time.
Potential Positives
- Fiverr's Board of Directors has authorized an additional $100 million in share repurchases, demonstrating confidence in the company's value and commitment to enhancing shareholder return.
- The company's strong cash position and cash flow generation enable it to strategically deploy capital, which may include paying down convertible notes and engaging in stock buybacks.
- This program aligns with Fiverr's capital allocation strategy, aimed at driving long-term growth and shareholder value, which may attract investors looking for stability.
Potential Negatives
- The share repurchase program is contingent upon the lack of objections from creditors, which introduces uncertainty and potential legal complications, as applications to object can be made until April 10, 2025.
- The company may suspend or discontinue share buybacks at its discretion without prior notice, which could lead to volatility in shareholder expectations and confidence.
- The mention of "known and unknown risks" and the need for caution regarding forward-looking statements suggest potential instability or unpredictability in the company's financial strategy and actual performance.
FAQ
What is the recent announcement by Fiverr's Board of Directors?
Fiverr's Board has authorized an additional $100 million for its share repurchase program to enhance shareholder value.
How does Fiverr plan to use the additional funds for share repurchases?
The funds will be used strategically for buybacks, optimizing the balance sheet, and evaluating M&A opportunities.
When will Fiverr's share repurchase program become effective?
The repurchase program will be effective unless creditors file objections by April 10, 2025, requiring court approval.
What factors affect Fiverr's share buyback timing and amount?
The timing and amount of buybacks depend on market conditions and other factors assessed by the company.
How can investors find more information about Fiverr?
Investors can find more information by visiting fiverr.com and checking out their financial reports and press releases.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$FVRR Hedge Fund Activity
We have seen 82 institutional investors add shares of $FVRR stock to their portfolio, and 98 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- ARROWSTREET CAPITAL, LIMITED PARTNERSHIP added 962,158 shares (+9638.9%) to their portfolio in Q4 2024, for an estimated $30,529,273
- CONTOUR ASSET MANAGEMENT LLC added 513,285 shares (+inf%) to their portfolio in Q4 2024, for an estimated $16,286,533
- INVENOMIC CAPITAL MANAGEMENT LP removed 479,382 shares (-100.0%) from their portfolio in Q4 2024, for an estimated $15,210,790
- ACADIAN ASSET MANAGEMENT LLC added 389,188 shares (+44.8%) to their portfolio in Q4 2024, for an estimated $12,348,935
- CONNOR, CLARK & LUNN INVESTMENT MANAGEMENT LTD. added 356,035 shares (+92.0%) to their portfolio in Q4 2024, for an estimated $11,296,990
- SUMMIT PARTNERS PUBLIC ASSET MANAGEMENT, LLC added 292,000 shares (+inf%) to their portfolio in Q4 2024, for an estimated $9,265,160
- TWO SIGMA INVESTMENTS, LP added 281,344 shares (+121.3%) to their portfolio in Q4 2024, for an estimated $8,927,045
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
NEW YORK, March 11, 2025 (GLOBE NEWSWIRE) -- Fiverr International Ltd, (NYSE: FVRR), the company that is changing how the world works together, announced that on March 10, 2025, its Board of Directors has authorized additional repurchases of up to $100 million of ordinary shares under its share repurchase program.
“We are pleased to announce that our Board has authorized an additional $100 million in our stock repurchase program. This program aligns with our consistent capital allocation strategy of driving growth, optimizing our balance sheet, enhancing shareholder value through buybacks, and evaluating strategic M&A opportunities,” said Ofer Katz, Fiverr’s President and CFO. “In this market, as we maintain a strong cash position with ample cash flow generation to strategically deploy across our capital allocation priorities, our expectation is to pay down our convertible notes with cash when they become due in November 2025. We also plan to opportunistically engage in share repurchases as one tool in our broader capital allocation strategy focused on driving long-term shareholder value."
According to Israeli Law the company’s creditors may apply to the company and object to the share repurchase program until April 10, 2025, in which case, the share repurchase program will be subject to a court approval. In the event no such objection is filed, the share repurchase program will become effective.
Repurchases under the program may be made from time to time in the open market, including through trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, in privately negotiated transactions or otherwise. The timing and amount of any share buybacks will be subject to market conditions and other factors determined by the company. The company may suspend, modify or discontinue buybacks at any time in its sole discretion without prior notice. This notice is neither an offer to purchase nor a solicitation of an offer to buy any securities.
About Fiverr
Fiverr’s mission is to change how the world works together. We exist to democratize access to talent and to provide talent with access to opportunities so anyone can grow their business, brand, or dreams. From small businesses to Fortune 500, nearly 4 million customers worldwide worked with freelance talent on Fiverr in the past year, ensuring their workforces remain flexible, adaptive, and agile. With Fiverr Business Solutions, large companies can find the right talent and tools, tailored to their needs to help them thrive and grow. On Fiverr, you can find over 700 skills, ranging from programming to 3D design, digital marketing to content creation, from video animation to architecture.
Don’t get left behind - come be a part of the future of work by visiting fiverr.com , read our blog , and follow us on X , Instagram , and Facebook .
Forward-Looking Statements
This press release contains forward-looking statements. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding the Company’s strategy, our repurchase program and its anticipated benefits, our ability to return capital to shareholders and our plan to pay down our convertible notes. These forward-looking statements are based on management's current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from our expectations expressed or implied by the forward-looking statements, including without limitation the important factors discussed under the caption “Risk Factors” in our annual report on Form 20-F filed with the U.S. Securities and Exchange Commission (“SEC”) on February 19, 2025, and our other reports filed with the SEC. Any such forward-looking statements represent management's estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.
Investor Relations:
Jinjin Qian
[email protected]
Press:
Jenny Chang
[email protected]
Source: Fiverr International Ltd.