Interesting bit of news today:
Looks like Mr. Gibbons is setting the firm up for something. I wonder, do you reduce the influence of the Tseng family to make it easier to acquire another company, or to be acquired?
In either case, the stock closed at 1.375, but its cash value is 1.70.
Monday December 22, 12:35 pm Eastern Time
Company Press Release
Tseng Labs, Inc. Purchases Four Million Shares of its Common Stock From
Tseng Family
NEWTOWN, Penn.--(BUSINESS WIRE)--Dec. 22, 1997--Tseng Labs, Inc. (Nasdaq National Market:TSNG - news) today announced
that it has acquired four million shares of its common stock from Jack Tseng, the Company's former President, and members of his
immediate family, in a private transaction valued at $5.2 million, or $1.30 per share. The shares will be retired, reducing the number
of common shares outstanding to 15,084,000. Mr. Tseng and members of his family remain investors in Tseng Labs, with total
holdings of 1,374,000 shares.
Jack Gibbons, President and Chief Executive Officer of Tseng Labs, commented, ''We are very pleased to complete this
transaction and greatly appreciate the cooperation of the Tseng family. The acquisition of this stock is very significant to the
Company. We believe that at a reasonable cost, we have eliminated the concern that a controlled block could be an impediment to
the Company's acquisition strategy as well as a large potential overhang in the market. At the same time, the purchase provided the
desired liquidity to the Tseng family. Of note, after payment for these shares and their retirement, the Company has net liquid
assets of approximately $1.70 per share.''
Tseng Labs, Inc. is a public company seeking to utilize its assets and stock to acquire growth companies in diverse industries.
NOTE: All forward looking information are estimates of Tseng Labs, Inc.'s management and are subject to various risks and
uncertainties that may influence the Company's ability to execute its acquisition strategy and other risks as detailed from time to
time in the Company's SEC reports and filings. |
