For a limited 30-day Period,
Holders of CHOD Preferred Stock can
convert into TEN shares of common,
rather than the usual one!
September 9, 2005 (Press Release) --
Freeport, NY - September 9, 2005 - Castle Holding Corp. (OTC: CHOD) has temporarily improved the conversion rights of its Series “A” Convertible Preferred Stock, it was announced here today.
Normally convertible into one share of Common Stock, Castle’s Board of Directors has authorized a Special Conversion Period starting immediately, during which holders of its Preferred Stock may convert each share into ten shares of CHOD Common Stock. The Special Conversion Period ends at 5:00 PM Mountain Time on Monday, October 20, 2005. “In addition, company counsel has advised that all shares of common stock issued upon conversion will be immediately free-trading and not restricted in any way,” reported Michael T. Studer, Chief Financial Officer.
“We’ve taken this step to provide our preferred shareholders with an exit strategy” said George R. Hebert, CHOD president. “In addition, if most of our preferred shareholders accept this offer, it will significantly improve the company’s working capital position.”
“CHOD is pursuing a corporate development strategy directed to the acquisition of equity participations in high-growth companies, and then spinning-off a portion of its interest to its shareholders as a tax-free dividend-in-kind”, Mr. Hebert said. “We hope to be able to announce several companies in this program before the end of this year.”
-30-
For further information,
please contact:
George R. Hebert, President
(516) 378-1000
Fax: (516) 378-6220
Normally convertible into one share of Common Stock, Castle’s Board of Directors has authorized a Special Conversion Period starting immediately, during which holders of its Preferred Stock may convert each share into ten shares of CHOD Common Stock. The Special Conversion Period ends at 5:00 PM Mountain Time on Monday, October 20, 2005. “In addition, company counsel has advised that all shares of common stock issued upon conversion will be immediately free-trading and not restricted in any way,” reported Michael T. Studer, Chief Financial Officer.
“We’ve taken this step to provide our preferred shareholders with an exit strategy” said George R. Hebert, CHOD president. “In addition, if most of our preferred shareholders accept this offer, it will significantly improve the company’s working capital position.”
“CHOD is pursuing a corporate development strategy directed to the acquisition of equity participations in high-growth companies, and then spinning-off a portion of its interest to its shareholders as a tax-free dividend-in-kind”, Mr. Hebert said. “We hope to be able to announce several companies in this program before the end of this year.”
-30-
For further information,
please contact:
George R. Hebert, President
(516) 378-1000
Fax: (516) 378-6220
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