GURUGRAM, India and NEW YORK, Nov. 17, 2023 /PRNewswire/ -- Yatra Online, Inc. ("Company" or "Yatra") (NASDAQ: YTRA) today announced that its Board of Directors has approved a share repurchase program, pursuant to which the Company is authorized to purchase up to $5 million of its outstanding ordinary shares, par value $0.0001 per share ("Ordinary Shares"), over an unlimited time period.
CEO and Co-Founder, Dhruv Shringi, commented on the development: "With our strong positioning in both consumer and corporate travel sectors in India, backed by our well-regarded consumer brand and a dominant corporate SaaS platform, we are poised for robust value creation. Our journey of transformation over the past three years during and since COVID has set a foundation for enhanced profitability and margin growth. Given this backdrop and a strong cash reserve post our successful IPO in India, the Board is authorizing a share repurchase of up to $5 million, underscoring our confidence in Yatra's future and our steadfast commitment to delivering shareholder value."
This authorization represents approximately 5% of Yatra's market capitalization based on the current share price. The share repurchase program is not yet effective and is subject to execution of definitive plan documents and regulatory cooling off period. Yatra's share repurchase program is not expected to have a fixed expiration date and is not expected to obligate the Company to acquire any specific number of shares. Under the program, shares may be repurchased from time to time in the open market or in privately negotiated transactions. The timing, manner, price and amount of any repurchases will be subject to the discretion of the Company and depend on a variety of factors, including the market price of the Ordinary Shares, general market and economic conditions, regulatory requirements, and other business considerations.
This press release contains certain forward-looking statements as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, as amended. These forward-looking statements are based on management's current expectations, assumptions, estimates and projections about the Company and its industry. These forward-looking statements are subject to various risks and uncertainties. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "anticipate," "believe," "estimate," "expect," "intend," "will," "project," "seek," "should," "poised," similar expressions and the negative forms of such expressions. Such statements include, among other things, statements regarding management's expectations of value creation, enhanced profitability and margin growth and management's expectations regarding the timing and terms of the share repurchase program. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, the impact of increasing competition in the Indian travel industry and our expectations regarding the development of our industry and the competitive environment in which we operate; the slowdown in Indian economic growth and other declines or disruptions in the Indian economy in general and travel industry in particular, including disruptions caused by safety concerns, terrorist attacks, regional conflicts (including the ongoing conflict between Ukraine and Russia), pandemics and natural calamities, our ability to successfully negotiate our contracts with airline suppliers and global distribution system service providers and mitigate any negative impacts on our Revenue that result from reduced commissions, incentive payments and fees we receive; the risk that airline suppliers (including our GDS service providers) may reduce or eliminate the commission and other fees they pay to us for the sale of air tickets; our ability to pursue strategic partnerships and the risks associated with our business partners; the potential impact of recent developments in the Indian travel industry on our profitability and financial condition; political and economic stability in and around India and other key travel destinations; our ability to maintain and increase our brand awareness; our ability to realize the anticipated benefits of any past or future acquisitions; our ability to successfully implement our growth strategy; our ability to attract, train and retain executives and other qualified employees, including suitable replacements for any members of our senior management team or other employees who may seek other employment opportunities as a result of the certain cost reduction initiatives that we have taken in response to the COVID-19 pandemic; and our ability to successfully implement any new business initiatives. These and other factors are discussed in our reports filed with the U.S. Securities and Exchange Commission. All information provided in this press release is provided as of the date of issuance of this press release, and we do not undertake any obligation to update any forward-looking statement, except as required under applicable law.
About Yatra Online, Inc.
Yatra Online, Inc. is the ultimate parent company of Yatra Online Limited, India's leading corporate travel services provider with approximately 813 large corporate customers and one of India's leading online travel companies. The company provides information, pricing, availability and booking facility for domestic and international air travel, domestic and international hotel bookings, holiday packages, buses, trains, in city activities, inter-city and point-to-point cabs, homestays and cruises. With approximately 105,600 hotels and homestays contracted in approximately 1,490 cities across India, as well as approximately 2 million hotels around the world, the company is India's largest platform for domestic hotels.
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