Source: Digital Insight
Digital Insight Corp. (Nasdaq: DGIN) the leading online banking provider, today announced that its Board of Directors has authorized the repurchase of up to $50 million of the Company's common stock during the next 12 months.
The Company's new share repurchase authorization, the third $50 million stock repurchase program to be initiated during 2006, follows the completion of approximately $149.4 million in share repurchases during the past two years at an average cost of $26.22 per share. Less than $1 million remains available under the Company's $50 million stock repurchase program announced on May 25, 2006.
The repurchases under the new $50 million repurchase program will be subject to market conditions, and will be made from time to time in open market or in privately negotiated transactions.
Digital Insight Chairman, President and CEO Jeff Stiefler commented, "Repurchasing our common stock at current valuations represents one of the most attractive investments available to the Company. Our financial strength and strong cash flows generated by our recurring-revenue business model enable Digital Insight to make opportunistic share repurchases, particularly during periods of market volatility, while maintaining adequate financial flexibility to pursue our strategic growth initiatives."
As of June 30, 2006, the Company had $107 million in cash and marketable securities on its balance sheet and no long-term debt.