Freshpet Inc. (NASDAQ: FRPT) announced that its board of directors has authorized the repurchase of up to $150 million of the company's common stock.

The pet food manufacturer's chief financial officer John O'Connor said the share repurchase program reflects the company's financial position and balance sheet. O'Connor noted that investing in the business to capture opportunities in fresh pet food remains the highest priority for capital deployment.

The authorization became effective immediately and does not have a fixed expiration date. Freshpet is not obligated to repurchase any specific number of shares and may suspend or discontinue the program at any time.

The company may repurchase shares through various methods, including open market purchases, privately negotiated transactions, or a 10b5-1 trading plan. The timing and number of shares repurchased will depend on factors including price, market conditions, and alternative investment opportunities.

Freshpet plans to fund the repurchases with existing cash, future cash flow from operations, future borrowings, or other sources of cash. The company mentioned proceeds from the sale of its equity investment in Ollie as contributing to its financial flexibility.

The New Jersey-based company develops refrigerated pet food made from fresh ingredients and sells its products through grocery, mass, digital, pet specialty, and club retailers across the United States, Canada, and Europe.