Mar. 5 at 1:12 PM
$WIX just dropped a move that doesn’t happen often in tech. 🚨
👉Click to view @StockMomentumLab for timely updates amid the volatility.
The company announced a tender offer to repurchase up to
$1.75B of stock, with the offer window running until April 1. At current valuation levels, that’s over one-third of the company’s market cap potentially being taken out of circulation.
Here’s how it works:
Instead of gradually buying shares on the open market,
$WIX is asking shareholders to tender shares within a price range of
$80–
$92. Once the offer closes, the company will choose the lowest price in that range that allows it to purchase the targeted amount, and every accepted share gets bought at that same price.
Translation for the market: management is willing to deploy
$1.75B of capital right now because they believe the stock is undervalued at current levels.
Tender offers of this size are rare—and when companies retire this much float, it can tighten supply and shift sentiment quickly.
