Business
Rimini Street Announces Stock Repurchase Plan Increase from $15 Million to $50 Million and $5 Million Prepayment on Its Outstanding Term Loan
Company reported strong operating cash flow, record cash and a net cash position exceeding debt by over $71 million as of March 31, 2022 LAS VEGAS--(BUSINESS
About this update from Rimini Street, Inc.
[{"type":"text","content":"\nCompany reported strong operating cash flow, record cash and a net cash position exceeding debt by over $71 million as of March 31, 2022\n\n LAS VEGAS--(BUSINESS WIRE)--\nRimini Street, Inc. (Nasdaq: RMNI), a global provider of enterprise software products and services, the leading third-party support provider for Oracle and SAP software products and a Salesforce partner, today announced that its Board of Directors has authorized an increase to its previously announced common stock repurchase program from up to $15 million over two years to up to $50 million over the next four years. Additionally, the Company has prepaid $5 million of indebtedness outstanding under its term loan on May 31, 2022 with no prepayment penalty, leaving an approximate loan balance of $81.6 million as of June 1, 2022.\n\nCorrespondingly, the Company’s credit agreement was also amended to increase the aggregate value of shares of Company common stock that can be repurchased. For more information on the credit agreement amendment, please refer to the Company’s Current Report on Form 8-K filed today and available on Rimini Street’s Investor Relations site at https://investors.riministreet.com/.\n\n“During fiscal year 2021 and the first quarter ended March 31, 2022, we generated strong operating cash flow of more than $112 million, resulting in a record cash balance of more than $158 million and a record net cash position as of March 31, 2022. Taking these and additional factors into consideration, the Company’s executive leadership and Board of Directors decided it was appropriate to increase the previously announced stock repurchase program to further enhance shareholder value,” stated Michael L. Perica, Rimini Street chief financial officer. “In addition, we have prepaid $5 million of outstanding indebtedness under our term loan to further reduce debt and related carrying costs. We remain confident the Company will be able to continue to fund growth, return capital to our shareholders and decrease our debt obligations and related carrying costs.”\n\nThe common stock repurchases may be effected through open market purchases, including through the use of Rule 10b5-1 trading plans, or privately negotiated transactions. The timing and amount of common stock repurchases made pursuant to the repurchase program are subject to various factors, including, but n...