ProAssurance suspended its quarterly cash dividend due to share price concerns, opting for capital return through share repurchases
Buybacks
May 27, 2023
May 26, 2023
ProAssurance Corporation (PRA), a provider of professional liability insurance, recently held its Annual Meeting of Shareholders on May 24th. The meeting resulted in the re-election of the company's four director nominees and the ratification of Ernst & Young, LLP as its independent auditing firm. Shareholders also approved the compensation of named executive officers for 2022, along with the proposal to conduct an annual advisory vote on executive compensation. However, the most significant announcement from the meeting was ProAssurance's decision to suspend its quarterly cash dividend in light of the current trading price of its shares. Instead, the company plans to prioritize capital return through share repurchases.
Recognizing the importance of capital allocation and the company's commitment to maximizing shareholder value, ProAssurance Corporation's Board of Directors has made the decision to suspend its quarterly cash dividend. The move comes as a result of careful evaluation of the current trading price of the company's shares. By suspending the dividend, ProAssurance aims to utilize its existing share repurchase authorization as an alternative means of returning capital to shareholders.
ProAssurance Corporation believes that utilizing its existing share repurchase authorization provides a more effective and efficient way to return capital to its shareholders. Share repurchases involve buying back a company's own shares from the open market, reducing the number of outstanding shares and potentially boosting the value of remaining shares. By repurchasing shares, ProAssurance seeks to enhance shareholder returns and demonstrate its confidence in the company's long-term growth prospects.
Members of LevelFields received the alert of this event on May 26, 9:51 AM ET
Join LevelFields now to be the first to know about events that affect stock prices and uncover unique investment opportunities. Choose from events, view price reactions, and set event alerts with our AI-powered platform. Don't miss out on daily opportunities from 6,300 companies monitored 24/7. Act on facts, not opinions, and let LevelFields help you become a better trader.
Join LevelFields now to be the first to know about events that affect stock prices and uncover unique investment opportunities. Choose from events, view price reactions, and set event alerts with our AI-powered platform. Don't miss out on daily opportunities from 6,300 companies monitored 24/7. Act on facts, not opinions, and let LevelFields help you become a better trader.