Sounds positive
Ocwen Asset Investment Corp. Sells $3.1 Million of Common Stock to Certain Directors, Officers and Others
WEST PALM BEACH, Fla., Feb. 17 /PRNewswire/ -- Ocwen Asset Investment Corp. (Nasdaq: OAIC) announced today that it sold 175,000 shares of Common Stock for an aggregate of approximately $3.1 million to William C. Erbey, Chairman and Chief Executive Officer of the Company, Christine A. Reich, a Director and President of the Company, Jordan C. Paul, Senior Vice President of the Company, and Barry N. Wish, a director of Ocwen Financial Corporation (NYSE: OFC), which manages the Company through a wholly owned subsidiary.
William C. Erbey, Chairman and Chief Executive Officer, said, "These purchases are an expression of confidence by persons close to the Company in the future of OAIC. And from the Company's perspective, these purchases give the Company not only additional equity to grow its business, they also serve to further align the interests of the persons responsible for the Company's success with the interests of the Company's shareholders."
The purchase price per share of Common Stock was the weighted average sales price per share of Common Stock on February 13, 1998, the last trading day before the transaction. In connection with this stock issuance, a subsidiary of Ocwen Financial Corporation exchanged a like number of shares of
OAIC Common Stock for a like number of Limited Partnership Units in OAIC's operating partnership in order to comply with the stock ownership restrictions imposed on real estate investment trusts under the Internal Revenue Code. OAIC is a real estate investment trust which invests primarily in non- investment grade, subordinated mortgage-backed securities, distressed real estate and other real estate related assets. |
