Obook Holdings Ltd (NASDAQ:OWLS) surged 4.5% in premarket trading on Wednesday following the company’s announcement of a new $10 million share repurchase initiative.
The blockchain technology firm said the nine-month program authorizes the repurchase of its Class A common stock using a range of methods, including open-market transactions, privately negotiated deals, and block trades.
According to the company, the board approved the plan after concluding that Obook’s current valuation fails to capture its “fundamental strengths, expanding global footprint, or the near-term catalysts emerging from its payment technology pipeline.”
Darren Wang, Founder and CEO of OwlTing Group, reinforced this view, stating, “We believe our stock is materially undervalued relative to our progress and upcoming catalysts. As we enter the most active product release cycle in the Company’s history, this buyback program underscores our conviction in the long-term value we are building.”
Obook highlighted several forthcoming developments, including integration with a major global card network, deployment of a stablecoin-based settlement framework, and progress on its proprietary AI-powered settlement engine, x402.
The company emphasized that the plan does not require it to repurchase a set number of shares and may be adjusted, paused, or discontinued at any time depending on market conditions and strategic considerations.