Group 1 board OKs $50 million stock repurchase program
Group 1 Automotive Inc. announced today that its board of directors has authorized a $50 million stock repurchase program.
Group 1 spent $11.3 million on share repurchases during the second quarter, buying 241,991 shares of common stock at an average price of $46.75. The new $50 million program replaces any amount remaining under the prior repurchase program as of June 30.
Group 1, the nation’s fourth-largest dealership group, said it expects to use cash from operations for any repurchase of shares made through the program.
Earlier this year, Group 1 CEO Earl Hesterberg said acquiring dealerships is the retailer’s top priority for its cash. But finding acquisitions that fit the company’s return-on-investment criteria has been challenging.
“It’s still very difficult,” Hesterberg said in February. “You look at an incredible number of opportunities to find one.”
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