Jasper-based Kimball International Inc. (Nasdaq: KBAL) has completed the sale of its previously-idled facility in Idaho. The company says the $10 million in proceeds will go toward the $25 million effort to repurchase stock.
Kimball says the share repurchasing effort will take place over the next 12 to 14 months. Chief Executive Officer Bob Schneider says the company has about 2.3 million shares remaining following a previously-approved authorization from the company’s board of directors to repurchase common stock.
"With the additional cash from the sale of our Idaho facility and our ability to generate operating cash flow, we plan to begin repurchasing up to $25 million in stock, which we believe will create further value for our share owners," said Bob Schneider, chief executive officer of Kimball. "With our strong balance sheet, we believe we will have sufficient capital available to complete this share repurchase plan and to continue to fund investments for future growth, including potential strategic acquisitions."
The Idaho facility was closed after Kimball moved its metal fabrication operations to its Indiana facilities. When the consolidation was announced in 2014, Kimball said the move would bring up to 160 jobs to Indiana.