Scholastic Corporation announced a $114 million share repurchase program that will buy back 2,852,735 shares at $40.00 each through a modified Dutch auction tender offer that expired on April 20 2026. The company will fund the buyback with cash and drawings on its existing credit facility, and the transaction is expected to reduce the outstanding share count by about 13.7%, leaving roughly 17.9 million shares outstanding.
The repurchase is part of Scholastic’s broader capital‑allocation strategy, which has returned nearly $500 million to shareholders since fiscal 2022. By reducing the share base, the company aims to lift earnings per share and signal confidence in its valuation, while also improving the balance sheet by lowering leverage and freeing cash for future investments.
Scholastic’s share count reduction aligns with its historical pattern of disciplined capital returns, including a $75 million tender offer in October 2022 and a $200 million authorization in March 2026. The company’s management views the buyback as a way to enhance shareholder value without compromising its ability to invest in core educational and digital media businesses.
The decision to repurchase shares at a price near the 52‑week high reflects management’s assessment that the stock is fairly valued and that the share count reduction will support long‑term shareholder returns. The program also provides flexibility for future capital‑allocation decisions, such as potential acquisitions or strategic asset sales, while maintaining a strong liquidity position.
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