Metropolitan Bank Holding Announces a New Share Buyback Program

Metropolitan Bank Holding Corp. MCB has announced a new share repurchase program. Under the plan, the company has been authorized to buy back shares worth $50 million. There is no expiration date for the program.

In the last two years, MCB did not have any share repurchase plan in place.

Also, the company does not pay any dividends to its shareholders.

Mark R. DeFazio, president and CEO of Metropolitan Bank Holding, said, “This move reflects our confidence in the Company’s long-term growth trajectory and the strength of our balance sheet.”

As of Dec. 31, 2024, Metropolitan Bank Holding’s total cash and cash equivalents were $200.3 million. The cash levels are decent relative to the total debt of $268.1 million. Hence, a decent balance sheet position and earnings strength indicate that MCB’s share repurchases look sustainable.

MCB’s Strategic Business Plan

DeFazio further noted, “This program will be one of the key drivers of our strategic direction.”

In early 2024, Metropolitan Bank Holding decided to exit all GPG BaaS relationships, following its broader plan to move away from consumer-facing BaaS. This decision aimed to reduce regulatory risks and was based on industry trends, regulatory changes and strategic considerations. By the end of 2024, the company had exited the GPG BaaS business, with only minor operational tasks remaining.

MCB launched a digital transformation in 2024 to modernize payment and online banking systems, aiming to enhance efficiency, support growth and improve customer experience. The company expects to complete the initiative by the end of this year.

Driven by such efforts, MCB is expected to enhance operational efficiency, which will help drive further growth.

Other Banks That Announced Share Repurchases

In February, Old National Bancorp. ONB announced a new share repurchase program. Under the plan, the company is authorized to repurchase up to $200 million worth of shares. The repurchase plan is set to expire on Feb. 28, 2026.

This new program will replace the existing one, which ONB announced in February 2024.

Likewise, Piper Sandler Companies PIPR announced a new share repurchase plan. The board of directors has approved the repurchase of up to $150 million worth of shares of PIPR’s outstanding stock.

The program will expire on Dec. 31, 2026. Before this, a share repurchase authorization was announced in May 2022, which expired on Dec. 31, 2024. Under this, PIPR was authorized to buy back up to $150 million worth of shares.

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