Chewy To Repurchase $500 Mln Of Shares From BC Partners

(RTTNews) - Chewy Inc. (CHWY) announced Wednesday that it has agreed to repurchase approximately 17.55 million shares of its Class A common stock, par value $0.01 per share, at a price of $28.49 per share. This price represents a 5.0% discount to yesterday's closing price, resulting in an aggregate repurchase price of about $500 million from Buddy Chester Sub LLC, an entity affiliated with funds advised by BC Partners Advisors LP, Chewy's largest shareholder.

Chewy believes the repurchase is an accretive use of capital and provides an efficient mechanism to repurchase shares at a discount to the current market price, while further reducing the ownership position of the Company's largest shareholder.

Prior to the Repurchase, Chewy had about 436 million shares of Class A common stock and Class B common stock outstanding. Following the Repurchase, Chewy will have approximately 418 million shares of Class A common stock and Class B common stock outstanding. The Repurchase is expected to close by June 27, 2024.