MCLEAN,
Va., Sept. 19, 2024 /PRNewswire/ -- Iridium
Communications Inc. (Nasdaq: IRDM), a leading provider of global
voice and data satellite communications, today announced that its
Board of Directors has authorized the repurchase of an additional
$500 million of Iridium common stock
through December 31, 2027. This is
the fourth stock repurchase authorization from the Board of
Directors in the past four years and brings the total value of the
program to $1.5 billion. This
$500 million authorization is also
the largest ever approved by the Board of Directors, underscoring
the strength of Iridium's business.
Iridium began its share repurchase program with an authorization
of $300 million in February of 2021,
a second $300 million authorization
in March of 2022, and a third authorization of $400 million in July of 2023. Similar to each
previous authorization, share repurchases will be executed with the
aim of maximizing return on investment for investors. As updated in
its second quarter 2024 earnings release, Iridium continues to
target net leverage below 4.0 times through 2026 and falling below
2.0 times operational EBITDA by the end of the decade, including
the ongoing effects of this repurchase program.
"With the completion of the Iridium® NEXT program,
Iridium began generating meaningful free cash flow and committed to
implementing shareholder-friendly activities," said Matt Desch, CEO, Iridium. "In the last few
years, we have already returned over a billion dollars through
share repurchases and dividends, and this authorization continues
the trend, making us one of the most shareholder-friendly
companies, not just in Space, but throughout the tech and telecom
industries as well."
The Company repurchase timeframe can be extended or shortened by
the Board of Directors, with any potential transactions being made
on the open market at prevailing prices or in negotiated
transactions off the market.
About Iridium Communications Inc.
Iridium® is the only mobile voice and data
satellite communications network that spans the entire globe.
Iridium enables connections between people, organizations, and
assets to and from anywhere, in real time. Together with its
ecosystem of partner companies, Iridium delivers an innovative and
rich portfolio of reliable solutions for markets that require truly
global communications. In 2024, Iridium acquired Satelles, Inc. and
announced the Iridium Satellite Time and Location service. Iridium
Communications Inc. is headquartered in McLean, Va., U.S.A.,
and its common stock trades on the Nasdaq Global Select Market
under the ticker symbol IRDM. For more information about Iridium
products, services, and partner solutions,
visit www.iridium.com.
Forward-Looking Statements
Statements in this press release that are not purely
historical facts may constitute forward-looking statements as
defined in the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements regarding Iridium's
expectations with respect to the amount and timing of share
repurchases and target leverage levels. Forward-looking statements
can be identified by the words "anticipates," "may," "can,"
"believes," "expects," "projects," "intends," "likely," "will," "to
be" and other expressions that are predictions or indicate future
events, trends or prospects. These forward-looking statements
involve known and unknown risks, uncertainties and other factors
that may cause the actual results, performance or achievements of
Iridium to differ materially from any future results, performance
or achievements expressed or implied by such forward-looking
statements. These risks and uncertainties include, but are not
limited to, uncertainties regarding customer demand for Iridium's
products and services, including demand from the U.S. government;
Iridium's ability to maintain the health, capacity and content of
its satellite constellation, and the development of and market for
Iridium's products and services, as well as general industry and
economic conditions, and competitive, legal, governmental and
technological factors. Other factors that could cause actual
results to differ materially from those indicated by the
forward-looking statements include those factors listed under the
caption "Risk Factors" in the Company's Form 10-K for the year
ended December 31, 2023, filed with
the Securities and Exchange Commission ("SEC") on February 15, 2024, and the Company's Form 10-Q
for the quarter ended June 30, 2024,
filed with the SEC on July 23, 2024,
as well as other filings Iridium makes with the SEC from time to
time. There is no assurance that Iridium's expectations will be
realized. If one or more of these risks or uncertainties
materialize, or if Iridium's underlying assumptions prove
incorrect, actual results may vary materially from those expected,
estimated or projected. Iridium's forward-looking statements are
based on information available to it as of the date of this press
release and speak only as of the date of this press release, and
Iridium undertakes no obligation to update forward-looking
statements.
Press Contact:
Jordan
Hassin
Iridium Communications Inc.
Jordan.Hassin@Iridium.com
+1 (703) 287-7421
X: @Iridiumcomm
Investor Contact:
Kenneth
Levy
Iridium Communications Inc.
Ken.Levy@Iridium.com
+1 (703) 287-7570
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SOURCE Iridium Communications Inc.