MRC Global Announces $125 Million Share Repurchase Program

Key Takeaways:

• MRC Global’s Board authorized a $125 million share repurchase program expiring in 2028.
• The program reflects the company’s confidence in its future and financial flexibility.
• CEO Rob Saltiel outlined a three-pronged capital allocation strategy.
• Share repurchase execution is anticipated to begin in the second quarter.
• MRC Global is a leading global distributor in the PVF industry with over 100 years of experience.

MRC Global Announces $125 Million Share Repurchase Program

MRC Global Inc. has unveiled a substantial $125 million share repurchase program authorized by its Board of Directors, marking a significant step in the company’s strategic financial planning. The program is set to expire on January 2, 2028.

Under the newly authorized plan, MRC Global may purchase its outstanding common shares through various means, including open market transactions, block purchases, and privately negotiated transactions. The flexibility of the program allows the company to adapt to market conditions, all in accordance with applicable federal securities laws.

Demonstrating Confidence and Financial Flexibility

“Today’s announcement reflects our confidence in the company’s future and the financial flexibility that we enjoy through the strengthening of our balance sheet over the past few years,” stated Rob Saltiel, MRC Global President & CEO. His remarks underscore the company’s positive outlook and robust financial health.

The program emphasizes that it may be modified, discontinued, or suspended at any time without prior notice, providing MRC Global with the agility to respond to changing market dynamics.

Strategic Capital Allocation

Saltiel outlined the company’s strategic approach, saying, “Our three-pronged capital allocation strategy consists of targeting a net debt leverage ratio of less than 1.5x, returning cash to shareholders, and investing in our company’s future growth.” This strategy highlights the company’s commitment to financial prudence, shareholder value, and sustainable growth.

The share repurchase program is a key component of this strategy, signaling a direct investment in the company’s equity and confidence in its long-term prospects.

Anticipated Execution in the Second Quarter

MRC Global plans to begin executing the repurchase program in the second quarter. “We anticipate beginning the execution of the repurchase program in the second quarter,” Saltiel confirmed. This timeline provides shareholders and the market with a clear expectation of the company’s near-term activities.

The actual timing and manner of the purchases will be determined by management, taking into account market conditions and other relevant factors.

About MRC Global

Headquartered in Houston, Texas, MRC Global (NYSE: MRC) is the leading global distributor of pipe, valves, fittings (PVF), and other infrastructure products and services. Serving diversified end-markets including gas utilities, downstream, industrial and energy transition, and production and transmission infrastructure sectors, MRC Global has over 100 years of industry experience.

With a worldwide network of over 200 locations, including valve and engineering centers, the company provides innovative supply chain solutions and technical product expertise. MRC Global’s quality assurance program offers over 300,000 SKUs from more than 8,500 suppliers, simplifying the supply chain for approximately 10,000 customers.

By announcing this significant share repurchase program, MRC Global signals a strong commitment to enhancing shareholder value and investing in the company’s future growth. The strategic move reflects both confidence in the company’s current position and optimism about its long-term prospects in the global market.