Ziegler produced strong third quarter results and while conditions can change quickly, we see momentum continuing throughout the fourth quarter. Our M&A and investment banking teams are in full transaction processing mode and continue to close business.
Chicago, IL (PRWEB) November 04, 2014
The Ziegler Companies, Inc. (Ziegler), a diversified financial services holding company, released its financial results for the third quarter ending September 30, 2014.
In the three months ended September 30, 2014, total revenues for the quarter were $21,662,000 compared to $16,023,000 in the third quarter of 2013. Net income for the third quarter of 2014 was $869,000 or 74 cents per basic and 73 cents per diluted share compared to $197,000 or 17 cents per basic and 16 cents per diluted share in the third quarter of 2013. Revenues include $1,800,000 from a nonoperating activity related to the favorable early termination of an administrative and accounting contract which originally extended into 2018.
For the nine months ended September 30, 2014, total revenues were $58,172,000 compared to $47,857,000 for the same period in 2013. Net income for the nine-month period was $1,520,000 or $1.30 per basic and $1.28 per diluted share in 2014 compared to net income of $372,000 or 31 cents per basic and diluted share for the same period in 2013. Tangible book value as of September 30, 2014 was $28.01, an increase from $27.01 at December 31, 2013. Full book value went from $28.50 to $29.67 in the same period.
Ziegler’s Chief Executive Officer, Thomas R. Paprocki, stated, “Ziegler produced strong third quarter results and while conditions can change quickly, we see momentum continuing throughout the fourth quarter. Our M&A and investment banking teams are in full transaction processing mode and continue to close business.” Paprocki continued, “The institutional trading desks are hard at work finding scarce high yield bond opportunities for our clients. Our Wealth Management group continues to benefit from the ever-growing need by individual investors for tailored advice and guidance. These are all good indicators for Ziegler’s continued success.”
Reverse Stock Split Approved by Shareholders:
During Ziegler’s special shareholder meeting on November 4, 2014, the proposed 1-for-25,000 reverse stock split of Ziegler common stock (to be followed by a forward stock split of 25,000-for-1 for those who exceed the 25,000 share amount) was overwhelmingly approved by shareholders. The reverse stock split seeks to consolidate ownership by Ziegler employees and cash out non-employee shareholders. The reverse stock split will be effective upon the filing of its amended articles and following notice to the Pink Sheets and is expected to be effective on December 15, 2014.
Once the reverse stock split becomes effective, shareholders holding shares through a brokerage account will have their shares automatically adjusted to reflect the 1-for-25,000 reverse stock split (and later 25,000-for-1 forward stock split for those who hold at lease one share of Ziegler common stock after the reverse stock split). Ziegler will adopt a new stock certificate in connection with the implementation of the reverse stock split. Ziegler’s transfer agent will manage the exchange of stock certificates. Existing shareholders holding common stock certificates will receive a transmittal letter from Ziegler’s transfer agent with specific instructions regarding the exchange of their old certificates as soon as practicable following the effectiveness of the reverse stock split. Shareholders should not send in their old stock certificates until they receive a letter of transmittal from the transfer agent. Shareholders who hold their shares through a securities broker or nominee (i.e., in “street name”) will be contacted by their brokers or nominees with any instructions.
Ziegler will not issue fractional shares of its common stock as a result of the reverse stock split. Instead, Ziegler’s transfer agent will cash out all fractional shares at $32.50 per share prior to the reverse stock split. In lieu of fractional shares, shareholders will receive a cash payment. Shareholders will not be entitled to receive interest for the period of time between the effective date of the reverse stock split and the date the shareholder receives his or her cash payment. Existing shareholders holding fewer than 25,000 shares of Ziegler common stock as of the effective date (which is anticipated to be December 15, 2014) will only receive cash for all their shares held before the reverse stock split and will no longer hold any shares of Ziegler common stock as of the effective date of the reverse stock split.
For access to Ziegler’s press releases and financial statements as they are released, please visit http://www.ziegler.com.
The Ziegler Companies, Inc. (PINKSHEETS: ZGCO), together with its affiliates (Ziegler), is a specialty investment bank with unique expertise in complex credit structures and advisory services. Nationally, Ziegler is ranked as one of the leading investment banking firms in its specialty sectors of healthcare, senior living, religion, and education, as well as general municipal and structured finance. Headquartered in Chicago, IL with regional and branch offices throughout the U.S., Ziegler provides its clients with capital raising, corporate finance, FHA/HUD, strategic advisory services and research. Ziegler serves institutional and individual investors through its wealth management and capital markets distribution channels.
# # #