Business
Tower Properties Announces Approval of Reverse Stock Split, Stock Repurchase Option
Tower Properties Announces Approval of Reverse Stock Split, Stock Repurchase Option.
About this update from Tower Properties Company
[{"type":"text","content":"On December 29, 2008, the shareholders of Tower Properties Company approved a 1-for-30 reverse stock split of the Company's common stock. The effective time for the reverse stock split will be after the close of business on December 31, 2008. Shareholders holding fewer than 30 shares of the Company's common stock will receive $300.00 per share for each share of the Company's common stock held prior to the effective time, and shareholders holding 30 or more shares of the Company's common stock will receive one share of common stock for each 30 shares held prior to the effective time and will receive $300.00 per share for any remaining shares held prior to the effective time not evenly divisible by thirty. Beneficial owners are eligible to participate in the reverse stock split in the same manner as record holders if they make appropriate arrangements with their record holders.The Company's shareholders also approved an amendment to the Company's Articles of Incorporation to effect a standing option for the Company to repurchase any shares of the Company's common stock proposed to be transferred if after such proposed transfer the number of shareholders of record of the Company's common stock would equal or exceed 250. The amendment will become effective after the close of business on December 31, 2008. The Company's option must be exercised within 30 days of receipt by the Company of notice of the proposed transfer. For purposes of the option, a \"transfer\" includes any conveyance of the Company's common stock, whether voluntary or involuntary, including but not limited to any sale, gift, assignment, bequest or devise. The number of holders of record is calculated pursuant to Rule 12g5-1 under the Securities Exchange Act of 1934, as amended, and the Securities and Exchange Commission's interpretations thereof. The price to be paid for the shares is the fair market value per share as determined by an annual appraisal, or, at the board's discretion, a more recent appraisal, with the appraiser selected by the board of directors.","length":2431,"tagName":"div"}]