Middlefield Banc Corp. increases its share buyback program
MIDDLEFIELD, Ohio, Aug. 13, 2021 (GLOBE NEWSWIRE) – Middlefield Banc Corp. (NASDAQ: MBCN) announced today that its board of directors has approved additional share repurchase capacity for the Company’s repurchase program (the “Program”).
“With high capital levels and excess liquidity, we believe that investing in our common stocks at attractive valuations is a good return for our shareholders. In addition, the expanded buyback program demonstrates our confidence in the strength of our business and our continued commitment to deliver value to our shareholders. Since April 2019, we have repurchased 527,143 common shares at an average price of $ 18.52 per share, ”said Thomas G. Caldwell, President and CEO of Middlefield.
On August 9, 2021, Middlefield’s Board of Directors authorized the Company to repurchase an additional 300,000 shares under the Program. Combined with the 28,721 shares available for repurchase under the authorization of the Board of November 9, 2020, the Program allows the Company to repurchase a total of 328,721 shares, i.e. approximately 5.4% of the 6,128,907 shares outstanding of the Company as of August 9, 2021. The Program may be modified, suspended or terminated by the Company at any time.
The increased authorization to buy back shares allows the Company to enhance its share and manage its capital. The action of the Board will allow management to effect repurchases, without further Board approval, when share purchases are deemed prudent. The board believes the program is an important corporate financing strategy that can increase long-term shareholder value. Share repurchases will be made periodically as permitted by securities laws and other legal requirements and will be subject to market conditions and other factors. Redemptions can be made in the open market, through block trades or otherwise, and as part of privately traded transactions. Share purchases can be started or suspended at any time without notice.
About Middlefield Banc Corp.
Middlefield Banc Corp., headquartered in Middlefield, Ohio, is the banking holding company of The Middlefield Banking Company with total assets of $ 1.36 billion as of June 30, 2021. The bank operates 16 full-service banking centers and an LPL Financial® brokerage office serving Beachwood, Chardon, Cortland, Dublin, Garrettsville, Mantua, Middlefield, Newbury, Orwell, Plain City, Powell, Solon, Sunbury, Twinsburg and Westerville. The bank also operates a loan production office in Mentor, Ohio.
Further information is available at www.middlefieldbank.bank
This press release from Middlefield Banc Corp. and the reports that Middlefield Banc Corp. filings with the Securities and Exchange Commission often contain “forward-looking statements” relating to present or future trends or factors affecting the banking industry and, in particular, the financial transactions, markets and products of Middlefield Banc Corp. These forward-looking statements involve certain risks and uncertainties. There are a number of important factors which could cause the future results of Middlefield Banc Corp. differ significantly from historical performance or projected performance. These factors include, but are not limited to: (1) a significant increase in competitive pressures among financial institutions; (2) changes in the interest rate environment that may reduce interest margins; (3) changes in prepayment rates, write-offs and loan loss provisions; (4) less favorable general economic conditions than expected; (5) legislative or regulatory changes likely to negatively affect the companies in which Middlefield Banc Corp. is engaged; (6) technological issues that could negatively affect the financial operations or customers of Middlefield Banc Corp. ; (7) the effect of the COVID-19 pandemic, including on our credit quality and business operations, as well as its impact on general economic and financial market conditions; (8) developments in the securities markets; or (9) risk factors mentioned in reports and registration statements filed by Middlefield Banc Corp. with the Securities and Exchange Commission. Middlefield Banc Corp. makes no commitment to issue revisions to these forward-looking statements or to reflect events or circumstances after the date of this press release.