Fremont General announces rights agreement

By Lisa Kerner

Charlotte, N.C., Oct. 24 - Fremont General Corp. entered into a stockholder rights agreement that provides for a dividend distribution of one preferred share purchase right for each outstanding share of the company's common stock.

The dividend is payable on Nov. 2, which is also the record date, according to a form 8-K filing with the Securities and Exchange Commission.

Holders of each newly issued right will be entitled to purchase one one-thousandth of a share of Fremont General's series A junior participating preferred stock for $12 from the company.

The rights are not exercisable until the distribution date and will expire on Nov. 2, 2017.

The distribution date will occur 10 business days following a public announcement that a person or group has newly acquired beneficial ownership of 5% or more of the company's outstanding shares or has begun a tender offer that would result in beneficial ownership of at least 5% of the company's shares.

Fremont General is a financial services holding company located in Santa Monica, Calif.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.