logo-loader
viewCUI Global Inc

CUI Global unveils $5M share buy-back program after divesting non-core assets

Shares on Nasdaq jumped nearly 12% Wednesday to stand at $1.12 each

CUI Global Inc -
The shares will be repurchased at market prices and the number and timing will be determined at the discretion of the firm

CUI Global Inc (NASDAQ:CUI), the energy services and tech group, is set for a buy-back of its shares to the tune of $5 million.

In a statement, the Oregon-headquartered firm said its board had authorized a share repurchase program.

Shares on Nasdaq jumped nearly 12% Wednesday to stand at $1.12 each.

READ: CUI Global completes sale of power business for $32 million in cash

"We are pleased to return a portion of the proceeds from the recent divestitures of non-core assets to shareholders in alignment with our continuing efforts to enhance shareholder value," said William J. Clough, executive chairman.

"A portion of the proceeds will also be utilized to support our Energy-centric growth strategy," he added.

The shares will be repurchased at market prices and the number and the timing of the purchases will be determined at the discretion of the firm. The repurchases may be discontinued at any time.

On Tuesday, CUI Global revealed it had completed the sale of the majority of its power business to electrical connector manufacturer Bel Fuse Inc (NASDAQ:BELFB) for $32 million in cash.

The proceeds are expected to be used on CUI's strategy to build an infrastructure services company and for general corporate purposes.

The sale came from the group's Power & Electromechanical (P&EM) segment.

The decision was part of a larger shift by CUI to transform the structure of its company.

In October, the firm announced the sale of its electromechanical business for US$15 million, which also came out of the P&EM segment.

Quick facts: CUI Global Inc

Price: 0.75 USD

NASDAQ:CUI
Market: NASDAQ
Market Cap: $21.32 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of CUI Global Inc named herein, including the promotion by the Company of CUI Global Inc in any Content on the Site, the Company receives from...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: CUI Global posts revenue growth and continues transformation...

CUI Global Inc (NASDAQ:CUI) Executive Chairman and General Counsel Bill Clough tells Proactive the Houston-based company spent 2019 laying the groundwork to become a diversified energy infrastructure company, boosted by the acquisition of renewable energy engineering firm Reach Construction...

5 days, 20 hours ago

2 min read