Light & Wonder Unveils New $1bn Share Buyback Program

The leading cross-platform global games company, Light & Wonder (L&W), confirmed that its Board of Directors authorized a new share repurchase program. On Thursday, the company revealed that approval was granted for the repurchase of up to $1 billion in outstanding common stock under the terms of a new three-year share repurchase program. The new program is set to expire on June 12, 2027.

L&W’s latest buyback follows another repurchase program that was set to expire on February 26, 2025. Per that program, the company sought to repurchase up to $750 million in common shares.

However, L&W confirmed that as of June 13, 2024, it has exhausted the complete $750 million share repurchase after completing the purchase of 11.2 million common shares. According to the company, the average purchase price was $66.72 per share, which marks a 28% discount on the closing price per share of L&W of $92.35 as of June 13.

The leading gaming company explained in a statement: “The timing and amount of repurchases under the Company’s share repurchase program will be determined by the Company from time to time at its discretion based on its evaluation of market conditions, share price, and other factors including potential accretive opportunities for inorganic growth.”

Future Looks Bright for Light & Wonder

Oliver Chow, L&W’s chief financial officer, revealed that the company has accumulated a positive momentum which in combination with its net debt leverage ratio created the opportunity for “significant optionality with regards to capital allocation.” Finally, the financial executive pointed out: “Our prior program was an effective value creation tool and moving forward the new program will allow us to deliver further value to our shareholders while underscoring our commitment to driving profitable growth and upside beyond 2025.”

“I am pleased to announce that the Board has approved a new, upsized share repurchase program as we continue to successfully execute our growth strategy and return meaningful capital to our shareholders.“

Matt Wilson, CEO at Light & Wonder

L&W’s CEO, Matt Wilson, said that it is exciting to confirm the authorization of the new share repurchase program. He added that the program complements the company’s growth strategy and at the same time delivers meaningful capital to its shareholders.

Finally, Wilson said that L&W will continue to invest in its future and predicted that based on the operating performance, the company remains on track to achieve $1.4 billion in consolidated AEBITDA for 2025.