The board of directors for Biopool International in Ventura has approved a repurchase plan for up to 400,000 shares of its common stock.
The action, taken at the annual board of directors meeting, is in response to the continued weakness in the company's stock price. The timing and amount of actual purchases of the company's stock will be determined by management over the next 12 months, officials said.
"Our action reflects the board's very strong view that our stock is currently undervalued and demonstrates the confidence the board has in the company's future," said Michael D. Bick, Biopool chairman and chief executive. "The company remains in a strong financial position, with approximately $1 million in cash and well over $5 million in working capital."
Biopool also has adopted a Shareholder Rights Plan to protect the company and its shareholders from unsolicited attempts to acquire the company. The plan has no immediate dilutive effect and does not diminish the ability of the company or its shareholders to accept an offer for the company approved by the board.
Biopool develops and manufactures test kits to assess and diagnose blood disorders, chemistry controls to monitor the presence of drugs, and serology products used to screen for antibodies and group and type whole blood.