BitGo's board approved a $50 million share repurchase, representing roughly 8% of Class A shares outstanding, funded by existing cash. Shares jumped about 15% on the announcement, four months after its $212.8 million IPO valuing the company north of $2 billion.
BitGo's board authorized a $50 million repurchase of common stock, representing approximately 8% of Class A shares outstanding. The program can be executed through open-market purchases, block trades or private transactions and takes effect immediately with no fixed expiration.
BitGo's stock surged roughly 15% in early trading after the buyback news, signaling investor confidence in the company's valuation just four months post-IPO.
The board stated it believes the company's intrinsic value exceeds current market price and will fund repurchases using existing cash and equivalents, without affecting the capital of its regulated subsidiaries.
BitGo completed its IPO in February, raising $212.8 million at a valuation north of $2 billion; this buyback marks its first major capital return initiative since listing.
