Chastain Capital Announces Board Approval for Asset Sales and Plan of Liquidation and Dissolution; Reports Second Quarter Results
ATLANTA--(BUSINESS WIRE)--Aug. 2, 1999--Chastain Capital
Corporation (Nasdaq/NM:CHAS) today reported that its Board of
Directors has approved the sale of a portion of the Company's assets
to Insignia Opportunity Partners and the adoption of a Plan of
Liquidation and Dissolution. The Company also reported results for the
second quarter and six months ended June 30, 1999.
The assets to be sold include a portion of Chastain's mezzanine
loan portfolio as well as the Company's entire commercial mortgage
backed securities (CMBS) portfolio for total consideration of $24.4
million. These assets had a book value of $28.0 million at March 31,
1999.
As previously announced on May 14, 1999, the asset sale and the
Plan of Liquidation and Dissolution are subject to the approval of
shareholders of the Company. These matters are expected to be
submitted to shareholders at the Company's annual meeting scheduled
for October 1, 1999. Prior to soliciting shareholder approval, the
Company may enter into additional definitive agreements to sell
certain of the remaining assets. These additional agreements would
also be subject to shareholder approval.
Chastain Capital recorded a loss of $548,000, or $0.07 per
diluted share, for the second quarter of 1999 compared with net income
of $102,000, or $0.01 per diluted share, in the second quarter of
1998, its first quarter of operations. The second quarter results
include $943,000 of net mark-to-market charges and $750,000 of charges
for asset selling costs. Excluding these items, the Company would have
recorded net income of $1,145,000, or $0.16 per share, in the second
quarter of 1999.
For the six months ended June 30, 1999, the Company recorded a
loss of $2,143,000, or $0.29 per diluted share. The six month results
include $2,664,000 of losses realized on the sale of assets,
$1,414,000 of net mark-to-market charges, $750,000 of charges for
asset selling costs and $49,000 of losses on termination of interest
rate collars. Excluding these items, the Company would have recorded
net income of $2,734,000, or $0.37 per share, for the period.
Chastain Capital Announces Board Approval for Asset Sales and Plan of Liquidation and Dissolution; Reports Second Quarter Results
ATLANTA--(BUSINESS WIRE)--Aug. 2, 1999--Chastain Capital
Corporation (Nasdaq/NM:CHAS) today reported that its Board of
Directors has approved the sale of a portion of the Company's assets
to Insignia Opportunity Partners and the adoption of a Plan of
Liquidation and Dissolution. The Company also reported results for the
second quarter and six months ended June 30, 1999.
The assets to be sold include a portion of Chastain's mezzanine
loan portfolio as well as the Company's entire commercial mortgage
backed securities (CMBS) portfolio for total consideration of $24.4
million. These assets had a book value of $28.0 million at March 31,
1999.
As previously announced on May 14, 1999, the asset sale and the
Plan of Liquidation and Dissolution are subject to the approval of
shareholders of the Company. These matters are expected to be
submitted to shareholders at the Company's annual meeting scheduled
for October 1, 1999. Prior to soliciting shareholder approval, the
Company may enter into additional definitive agreements to sell
certain of the remaining assets. These additional agreements would
also be subject to shareholder approval.
Chastain Capital recorded a loss of $548,000, or $0.07 per
diluted share, for the second quarter of 1999 compared with net income
of $102,000, or $0.01 per diluted share, in the second quarter of
1998, its first quarter of operations. The second quarter results
include $943,000 of net mark-to-market charges and $750,000 of charges
for asset selling costs. Excluding these items, the Company would have
recorded net income of $1,145,000, or $0.16 per share, in the second
quarter of 1999.
For the six months ended June 30, 1999, the Company recorded a
loss of $2,143,000, or $0.29 per diluted share. The six month results
include $2,664,000 of losses realized on the sale of assets,
$1,414,000 of net mark-to-market charges, $750,000 of charges for
asset selling costs and $49,000 of losses on termination of interest
rate collars. Excluding these items, the Company would have recorded
net income of $2,734,000, or $0.37 per share, for the period. |
