LexinFintech Holdings Ltd. Announces US$50 million Share Repurchase Program and Management Purchase

Rhea-AI Summary

LexinFintech Holdings (NASDAQ: LX), a leading Chinese financial service enabler, has announced a significant US$50 million share repurchase program over the next twelve months. The program will be executed through various means including open market transactions, private negotiations, and block trades, subject to market conditions and regulations.

Additionally, Chairman and CEO Jay Wenjie Xiao has committed to personally purchase up to US$10 million worth of ADSs within the same timeframe, demonstrating strong confidence in the company's fundamentals and growth prospects.

Positive

• Board authorized substantial US$50 million share repurchase program
• CEO demonstrates confidence with personal commitment to purchase US$10 million in ADSs
• Flexible repurchase execution strategy allowing for optimal pricing and timing
• Program indicates strong cash position and commitment to shareholder value

Negative

• Share repurchase program may limit funds available for business operations and growth initiatives

Insights

Financial Analyst

Lexin's $50M buyback and CEO's $10M personal share purchase signal management confidence in company's undervalued shares and future growth prospects.

Lexin has announced a substantial $50 million share repurchase program spanning the next twelve months, accompanied by CEO Jay Wenjie Xiao's personal commitment to purchase up to $10 million of the company's American depository shares. This combined $60 million capital allocation represents a significant vote of confidence from both the board and top leadership.

The timing of this announcement is strategic. Share repurchases typically indicate management's belief that the company's stock is undervalued relative to its future prospects. By reducing the number of outstanding shares, Lexin will increase earnings per share and potentially boost share price, creating immediate value for existing shareholders. The CEO's personal investment further reinforces this positive outlook, as executives rarely commit substantial personal capital unless they foresee favorable business conditions ahead.

This repurchase program offers Lexin flexibility in execution, allowing for open market purchases, private transactions, and block trades depending on market conditions. The board's commitment to periodic review ensures the program remains aligned with changing business needs and market dynamics. For investors, this signals disciplined capital management alongside optimism about the company's financial position and growth trajectory in China's competitive fintech sector.

While the announcement doesn't disclose specific financial metrics, the willingness to allocate substantial capital toward repurchases rather than alternative investments suggests management's confidence in Lexin's current business fundamentals and existing growth strategy in China's personal financial services market.

SHENZHEN, China, July 21, 2025 (GLOBE NEWSWIRE) -- LexinFintech Holdings Ltd. (“Lexin” or the “Company”) (NASDAQ: LX), a leading technology-empowered personal financial service enabler in China, today announced that its board of directors has authorized a share repurchase program under which the Company may purchase up to US$50 million of its shares over the next twelve months (the “Share Repurchase Program”).

The Company’s proposed repurchases may be made from time to time through open market transactions at prevailing market prices, in privately negotiated transactions, in block trades and/or through other legally permissible means, depending on the market conditions and in accordance with applicable rules and regulations. The timing and dollar amount of the repurchase transactions will be subject to the Securities and Exchange Commission Rule 10b-18 and/or Rule 10b5-1 requirements. The Company’s board of directors will review the Share Repurchase Program periodically, and may authorize adjustments of its terms and size or suspend or discontinue the program.

In addition, Mr. Jay Wenjie Xiao, Chairman and Chief Executive Officer of Lexin, has informed the Company that he planned to use his personal funds to purchase the Company’s American depository shares (the “ADSs”). Mr. Xiao intends to purchase up to US$10 million worth of the ADSs within the next twelve months, pursuant and subject to applicable laws and the Company’s securities trading policy. Mr. Xiao makes his own independent decision on the share purchase and its terms. The share purchases by Mr. Xiao may be made from time to time in the open market at prevailing market prices, in privately negotiated transactions, in block trades and/or through other legally permissible means, depending on market conditions and in accordance with applicable rules and regulations.

“The Share Repurchase Program demonstrates our confidence in Lexin’s business fundamentals and growth opportunities,” said Mr. Xiao. “We believe this is an attractive way of deploying our capital and returning value to shareholders, and we will continue to evaluate additional opportunities to enhance shareholder returns.”

About LexinFintech Holdings Ltd.

We are a leading credit technology-empowered personal financial service enabler. Our mission is to use technology and risk management expertise to make financing more accessible for young generation consumers. We strive to achieve this mission by connecting consumers with financial institutions, where we facilitate through a unique model that includes online and offline channels, installment consumption platform, big data and AI driven credit risk management capabilities, as well as smart user and loan management systems. We also empower financial institutions by providing cutting-edge proprietary technology solutions to meet their needs of financial digital transformation.

For more information, please visit http://ir.lexin.com.

To follow us on Twitter, please go to: https://twitter.com/LexinFintech.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about Lexin’s beliefs and expectations, are forward-looking statements. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Among other things, the expectation of the collection efficiency and delinquency, business outlook and quotations from management in this announcement, contain forward-looking statements. Lexin may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Lexin’s goal and strategies; Lexin’s expansion plans; Lexin’s future business development, financial condition and results of operations; Lexin’s expectation regarding demand for, and market acceptance of, its credit and investment management products; Lexin’s expectations regarding keeping and strengthening its relationship with borrowers, institutional funding partners, merchandise suppliers and other parties it collaborates with; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Lexin’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Lexin does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

For investor and media inquiries, please contact:

LexinFintech Holdings Ltd.
IR inquiries:
Will Tan
Tel: +86 (755) 3637-8888 ext. 6258
E-mail: willtan@lexin.com

Media inquiries:
Ruifeng Xu
Tel: +86 (755) 3637-8888 ext. 6993
E-mail: media@lexin.com

SOURCE LexinFintech Holdings Ltd.

FAQ

What is the size of LexinFintech's (NASDAQ: LX) new share repurchase program?

LexinFintech announced a US$50 million share repurchase program to be executed over the next twelve months.

How much is LexinFintech's CEO planning to invest personally in company shares?

CEO Jay Wenjie Xiao plans to purchase up to US$10 million worth of ADSs using his personal funds within the next twelve months.

How will LexinFintech (LX) execute its share repurchase program?

The repurchases will be made through open market transactions, privately negotiated transactions, block trades, and other legal means, subject to market conditions and SEC Rules 10b-18 and/or 10b5-1.

When does LexinFintech's (NASDAQ: LX) share repurchase program expire?

The share repurchase program will run for twelve months from the announcement date of July 21, 2025.

Why did LexinFintech announce a share repurchase program?

The company initiated the program to demonstrate confidence in its business fundamentals and growth opportunities, viewing it as an attractive way to deploy capital and return value to shareholders.