When does the Benihana common stock repurchase program, announced on September 7, 2022, terminate?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
On September 7, 2022, the Company announced a repurchase program of up to $10.0 million of outstanding common stock, which program terminates in September 2024.
In September 2022, the Company's Board of Directors authorized a repurchase program of up to $10.0 million of outstanding common stock. In May 2023, the Company's Board of Directors authorized an additional $5.0 million to this program. During the years ended December 31, 2023 and 2022, the Company purchased 1.2 million and 1.1 million shares for aggregate consideration of $7.9 million and $7.1 million, respectively. As of December 31, 2023, the Company had repurchased 2.3 million shares for $15.0 million under the program. The repurchase program was completed in October 2023 with the repurchase of $0.2 million in shares.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, the company announced a common stock repurchase program on September 7, 2022, for up to $10.0 million of outstanding common stock. The initial program was scheduled to terminate in September 2024. However, the program was modified in May 2023, when the Board of Directors authorized an additional $5.0 million for the program.
The 2024 FDD further indicates that Benihana purchased 1.2 million and 1.1 million shares during the years ended December 31, 2023, and 2022, respectively, for an aggregate consideration of $7.9 million and $7.1 million. By December 31, 2023, the company had repurchased 2.3 million shares for $15.0 million under the program.
Ultimately, the repurchase program was completed in October 2023 with the repurchase of $0.2 million in shares. Therefore, while the initial plan was to terminate in September 2024, the program concluded earlier than expected.