RALEIGH, North Carolina–(BUSINESS WIRE)–Vontier Corporation (“Vontier”) (NYSE: VNT) today announced that it has entered into a $250 million accelerated share repurchase agreement (the “ASR Agreement” or “ASR”) with Citibank, NA Vontier will acquire the shares as part of its previously approved $500 million stock repurchase authorization announced in May 2021.
“Vontier is in the midst of a multi-year portfolio transformation, and this ASR reflects our strong belief in the business, its growth prospects and the strength of its free cash flow as we reposition Vontier to be the transition leader. energy and solving the problems of tomorrow and the challenges of intergenerational mobility and transportation,” said Mark D. Morelli, President and Chief Executive Officer.
“Our Board and management are committed to allocating capital on an accretive basis with accelerated share buyback as an immediate priority to build shareholder value. Vontier’s long-term capital allocation priorities seek to balance disciplined investment in organic and inorganic opportunities with the return of capital to shareholders. Given the strength of our balance sheet, we are confident in our ability to achieve both of these objectives while maintaining our investment grade ratings,” continued Morelli. “We will continue to align our capital allocation priorities and the optionality of our strategic portfolio to the benefit of our shareholders as we execute on-going initiatives to drive portfolio diversification and profitable growth.”
Subject to the achievement of this ASR, Vontier is expected to have approximately $250 million remaining under its current repurchase authorization. Although the amount and timing of future share purchases will be subject to a number of factors, including Vontier’s business, share price and general market conditions, the Company intends to continue redemptions later in the year to create shareholder value. The remaining share repurchases may be effected from time to time through open market purchases, 10b5-1 plans, future ASR programs or through over-the-counter transactions.
Vontier is a global industrial technology company at the forefront of solving next-generation mobility and transportation challenges. Guided by the Vontier Business System and an unwavering commitment to our customers, Vontier delivers smart, sustainable solutions to create a better world.
This press release contains forward-looking statements within the meaning of the federal securities laws. Such statements include, but are not limited to, statements regarding Vontier Corporation’s (the “Company”) business and acquisition opportunities and anticipated earnings, and any other statements identified by the use of words such as “anticipate ‘, ‘expect’, ‘believe’, ‘perspective’, ‘orientation’ or ‘will’ or other words of similar meaning. There are a number of important risks and uncertainties that could cause actual results, developments and business decisions to differ materially from those suggested or indicated by such forward-looking statements and you should not place undue reliance on such statements. prospective. These risks and uncertainties include, among others, the duration and impact of the COVID-19 pandemic, deterioration or instability of the economy, the markets we serve, international trade policies and financial markets, contractions or lower growth rates and the cyclicality of the markets we serve, competition, changes in industry standards and government regulations which may adversely impact demand for our products or our costs , our ability to identify, complete, integrate and successfully realize the anticipated value of appropriate acquisitions and to complete divestitures and other dispositions, our ability to successfully develop and commercialize new products, software and services and to grow in new markets, the potential for inappropriate conduct by our employees, agents or business partners, the impact of divestitures, contingent liabilities related to acquisitions and divestitures, the impact of changes in tax laws, our compliance with applicable laws and regulations and changes in applicable laws and regulations, risks relating to international economic, political, legal, compliance and commercial factors, risks relating to our capital allocation plans, including our ability to acquire common stock under our previously approved share repurchase authorization, risks relating to potential impairment of goodwill and other intangible assets, exchange rates, tax audits and changes in our tax rate and tax obligations, the impact of our debt on our operations, litigation and other contingent liabilities, including intellectual property and the environment, health and safety issues, our ability to adequately protect our intellectual property rights, risks risks related to defects in products, services or software, product liability and recalls, product manufacturing risks, our relationships with and performance of our distribution partners, product costs and surcharges, our ability to adjust purchasing and manufacturing ability to reflect market conditions, reliance on single sources of supply, security breaches or other disruptions to our information technology systems, adverse restructuring activities, the impact of changes to US GAAP, labor issues and disruptions from man-made and natural disasters. Additional information regarding factors that could cause actual results to differ materially from these forward-looking statements is available in our filings with the SEC, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2020. forward-looking statements represent Vontier’s beliefs and assumptions only as of the date of this release and Vontier undertakes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events and developments. or otherwise.