LOUISVILLE, Ky.--(BUSINESS WIRE)--
Papa John's International, Inc. (NASDAQ: PZZA) (the "Company"), today
announced that it has entered into a $100 million accelerated share
repurchase agreement (the "ASR Agreement") with Bank of America, N.A.
("BofAML"). The Company will acquire shares under the ASR Agreement as
part of its $500 million share repurchase authorization previously
announced on August 1, 2017.
Pursuant to the terms of the ASR Agreement, the Company will pay BofAML
$100 million in cash and will initially receive a substantial majority
of the shares of the Company's common stock it expects to repurchase
under the ASR Agreement. The total number of shares to be repurchased
will be based on the average of the daily volume-weighted average prices
of the Company's common stock during the term of the transaction, less
an agreed discount and subject to potential adjustments pursuant to the
terms and conditions of the ASR Agreement. At final settlement, BofAML
may be required to deliver additional shares of common stock to the
Company, or under certain circumstances, the Company may be required to
deliver shares of common stock or to make a cash payment, at its
election, to BofAML. The final settlement of the transaction under the
ASR is expected to occur no later than the third quarter of 2018.
Forward-Looking Statements
This release contains forward-looking information related to the
Company's plans with respect to an accelerated share repurchase that
involves substantial risks and uncertainties that could cause actual
results to differ materially from those expressed or implied by such
statements. Risks and uncertainties include, among other things, the
uncertainties inherent in business and financial planning, including,
without limitation, risks related to the Company's business and
prospects, adverse developments in the U.S. or global capital markets,
credit markets or economies generally that could significantly impact
the Company's ability to implement, or realize the benefits of, the
accelerated share repurchase as currently planned.
Other risks and uncertainties are discussed in detail in "Part I. Item
1A. - Risk Factors" in our Annual Report on Form 10-K for the fiscal
year ended December 31, 2017. We undertake no obligation to update
publicly any forward-looking statements, whether as a result of future
events, new information or otherwise, except as required by law.
About Papa John's:
Headquartered in Louisville, Kentucky, Papa John's International, Inc.
(NASDAQ: PZZA) is the world's third-largest pizza delivery company. For
16 of the past 18 years, consumers have rated Papa John's No. 1 in
customer satisfaction among all national pizza chains in the American
Customer Satisfaction Index (ACSI). For more information about the
company or to order pizza online, visit Papa John's at www.papajohns.com.
View source version on businesswire.com: http://www.businesswire.com/news/home/20180301005472/en/
Papa John's International, Inc.
Steve Coke, 502-261-7272
Vice
President of Investor Relations and Strategy
Source: Papa John's International, Inc.
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