SAN FRANCISCO--(BUSINESS WIRE)--CAI International, Inc. (CAI) (NYSE: CAP), one of the world’s leading lessors of intermodal freight containers, today announced that on May 1, 2014 it agreed to purchase 200,000 shares of its common stock from its Founder and Chairman, Hiromitsu Ogawa.
The stock was purchased under the previously announced stock repurchase program at a price of $21.90, which represents a modest discount to the closing price on May 1, 2014, and the shares will be subsequently retired. The retirement of these shares will not affect the public float of our equity.
Mr. Ogawa’s beneficial ownership in the stock of the Company has been reduced to approximately 4.8 million shares, or 21.5% of the Company’s outstanding common stock.
Victor Garcia, CAI's President and Chief Executive Officer, commented, "We are pleased to have the opportunity to purchase these shares as part of our share buyback program. We believe our shares are attractively priced and that this repurchase is in the best interests of our stockholders given the purchase price and our current strong financial position. Moreover, the repurchases of these shares will reduce our outstanding share count without affecting our public float and be accretive to our future earnings. We will consider additional share repurchases as market conditions warrant. Furthermore, we remain optimistic about the prospects for our business in 2014 and do not believe the share repurchase will limit our ability to invest in equipment in order to serve our customers."
About CAI International, Inc.:
CAI is one of the world’s leading managers and lessors of intermodal freight containers. As of March 31, 2014, the company operated a worldwide fleet of approximately 1,158,000 TEUs of containers through 17 offices located in 13 countries including the United States.
This press release contains forward-looking statements including, but not limited to, statements regarding management’s plans for repurchasing company stock under the approvals granted by the Board of Directors, management’s and the Board of Directors’ confidence in our continued growth and cash generation prospects and the company’s view that share repurchases will be an effective way to return value for stockholders. Although CAI believes that the expectations reflected in the forward-looking statements are reasonable, these plans are dependent on the company’s future financial condition and its determinations of the continued value of a repurchase program, changing customer demands and/or business conditions in the container and shipping industries and the overall economy, the competitiveness of our offerings and management’s ability to continue to achieve strong financial and cash generation performance. CAI refers you to the documents that it has filed with the Securities and Exchange Commission, including its annual report on Form 10-K for the year ended December 31, 2013, its interim reports on Form 10-Q and its reports on Form 8-K. These documents contain additional important factors that could cause actual results to differ from current expectations and from forward-looking statements contained in this press release. Furthermore, CAI is under no obligation to (and expressly disclaims any such obligation to) update or alter any of the forward-looking statements contained in this press release whether as a result of new information, future events or otherwise, unless required by law.