IMAGE COURTESY KVH Satellite-based communications provider KVH Industries has entered into agreements to sell its factory and offices in Middletown, R.I.
“We expect that the sale of our Rhode Island facilities will provide us with approximately $12 million, net of transaction costs, for working capital and potential strategic opportunities, while also allowing us to move to a new facility better-suited to our future needs,” CEO Brent Bruun said in a statement. “The board’s authorization of a share repurchase program also underscores our commitment to the company’s shareholders.”
The property sales and share repurchase plan reflect “confidence in the company’s strategy, strong balance sheet and ability to leverage the strategic opportunities that lie ahead to build long-term value,” Bruun said.
The board of directors said the company can purchase outstanding shares of KVH common stock for an aggregate purchase price of up to $10 million.
