Genesis Energy announces repurchase program up to 10% of stock outstanding

Genesis Energy announced that its Board of Directors has approved a common equity repurchase program authorizing the repurchase of up to 10% of its outstanding Class A common units. Grant Sims, Chairman and CEO, commented, “As discussed in last week’s earnings release, the outlook for Genesis remains constructive, and we continue to have a clear line of sight to generating cash flow of roughly $200 to $300M per year after certain cash obligations starting in late 2024 and accelerating into 2025. We believe our current equity valuation does not reflect the strength of our asset base or the long-term outlook of our market-leading businesses. Given this backdrop, we believe this is an appropriate time to institute a repurchase program which we intend to manage in a prudent and balanced manner consistent with our priority of maintaining our targeted long-term leverage ratio over time. This Program is in addition to our opportunistic repurchases of our outstanding Class A Convertible Preferred units, of which to date we have redeemed a total of $50M. We have also purchased outstanding bonds in the open market over the last several years, when we believe they also do not reflect the long-term outlook for Genesis. All of these actions demonstrate our ability and willingness to return capital to all of our investors