Exela Technologies (XELA) to Deploy $200M in Next Step Capital Deployment Strategy

Exela Technologies, Inc. (NASDAQ: XELA, XELAP) today announced the next step in its multipart Capital Deployment Strategy (“Strategy”), previously announced on September 30, 2021 as part of a broader mandate to maximize shareholder value, proactively negotiate our remaining debt maturities and reduce the overall amount of debt along with repurchases of common stock. The Company remains focused on strengthening its financial foundation for improved cash flow generation which is essential for shareholder value expansion.

The Company’s Strategy calls for initiating sale processes for several stand-alone assets that are expected to generate proceeds in excess of $200 million. The Company may supplement this effort by raising lower cost debt and equity capital utilizing currently effective registration statements.

“We are close to finishing the first step of what we announced last September and our plans now include sales of assets as an incremental source of capital, with the ultimate goal of initiating a stock buyback program in the future, and returning capital to shareholders. We are thankful to our large, global shareholder base, our employees and our customers as we roll out the next step in our Strategy for 2022 and beyond,” noted Par Chadha, Executive Chairman.

The successful implementation of our Strategy is dependent upon obtaining appropriate approvals of various internal and external stakeholders, successful sale of the stand-alone assets, and other factors, many of which are outside of our control. Although the Company believes it will be able to obtain such approvals and will be successful in its endeavors, it cannot provide any assurances that it will be successful in obtaining such approvals or in effectively implementing and timely completing the Strategy, or that successful completion of the Strategy will have the desired impact.

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