Vipshop Holdings Limited(NYSE: VIPS), a online discount retailer for brands in China ("Vipshop" or the "Company"), today announced that its board of directors has authorized a new share repurchase program under which the Company may repurchase up toUS$1 billionof its American depositary shares or Class A ordinary shares over the next 24-month period. The Company plans to adopt and implement such share repurchase program in accordance with applicable rules and requirements under the Securities Exchange Act of 1934, as amended, and the Company's insider trading policy.
The Company's proposed repurchases may be made from time to time in the open market at prevailing market prices, in privately negotiated transactions, in block trades and/or through other legally permissible means, depending on market conditions and in accordance with applicable rules and regulations. The timing and dollar amount of repurchase transactions will be subject to the Securities and Exchange Commission Rule 10b-18 and/or Rule 10b5-1 requirements. The Company's board of directors will review the share repurchase program periodically, and may authorize adjustment of its terms and size. The Company expects to fund the repurchases out of its existing cash balance.
Vipshop shares jumped 8% in premarket trading.
