American Express to Purchase SierraCities.com, a Leader in Small Business Equipment Financing.Business Editors/Hi Tech Writers NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of & HOUSTON--(BUSINESS WIRE)--Feb. 14, 2001 American Express American Express (NYSE: AXP), sometimes known as "AmEx" or "Amex", is a diversified global financial services company, headquartered in New York City. The company is best known for its credit card, charge card and traveler's cheque businesses. Company and SierraCities.com Inc. today announced the signing of a definitive agreement for American Express Travel Related Services Company, Inc. to acquire SierraCities, a leading equipment finance company, for $5.68 a share, or a total of $107.5 million for the approximately 18.9 million shares outstanding. American Express will offer to purchase all outstanding shares of SierraCities pursuant to a tender offer expected to commence within the next two weeks. This transaction is subject to the tender of at least two-thirds of the SierraCities shares, as well as other customary conditions, and is expected to be completed by the end of March. The acquisition of SierraCities, with more than $1.5 billion in receivables, will significantly expand American Express' existing equipment financing business and further American Express' leadership in small business lending. "SierraCities' capabilities complement our portfolio of lending products and services," said Kerry D. Hatch Hatch may refer to: Actions and objects
"We are delighted to have reached this agreement with American Express," said SierraCities CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , Tom Depping. "The power of the American Express brand combined with its commitment to the small business market will benefit our customers, shareholders and employees." American Express provides equipment financing through participating equipment vendors in the form of leases, and directly to small businesses through term loans. SierraCities, based in Houston, is an innovator of technology solutions for online business-to-business financing. Its state-of-the-art technology platform supports real-time funding of e-commerce transactions by automating a range of processes, including applications, data retrieval and underwriting Underwriting 1. The process by which investment bankers raise investment capital from investors on behalf of corporations and governments that are issuing securities (both equity and debt). 2. The process of issuing insurance policies. . American Express Small Business Services (SBS See Small Business Server. ) has been providing small business equipment financing since 1997. SBS, a unit solely dedicated to supporting firms with fewer than 100 employees, serves more than 2.5 million small business owners with a range of lending and payment services, including charge and credit cards, unsecured Unsecured A loan or equity interest that is given without any guarantee of payment, performance, satisfaction or opportunity for return from the recipient. No property, interest or security is used as collateral in either a guarantee or a pledge. lines of credit, term loans and equipment financing. American Express Company (www.americanexpress.com) is a diversified diversified (di·verˑ·s worldwide financial, travel and network services provider founded in 1850. It is a leader in charge and credit cards, Travelers Cheques, travel, financial planning Financial planning Evaluating the investing and financing options available to a firm. Planning includes attempting to make optimal decisions, projecting the consequences of these decisions for the firm in the form of a financial plan, and then comparing future performance against , investment products, insurance, accounting and international banking. This announcement is neither an offer to purchase nor a solicitation solicitation In criminal law, the act of asking, inducing, or directing someone to commit a crime. The person soliciting another becomes an accomplice to the crime. The term also refers to the act of obtaining bribes, as well as to the crime of a prostitute who offers sexual of an offer to sell shares of SierraCities.com Inc. At the time the offer is commenced, American Express Travel Related Services Company, Inc., a subsidiary of American Express Company, and a subsidiary of such company, will file a tender offer statement with the U.S. Securities and Exchange Commission and SierraCities.com Inc. will file a solicitation/recommendation statement with respect to the offer. The tender offer statement (including an offer to purchase, a related letter of transmittal Letter of Transmittal A document used by security holder to accompany certificates surrendered in an exchange or other corporate action. and other offer documents) and the solicitation/recommendation statement will contain important information which should be read carefully before any decision is made with respect to the offer. The offer to purchase, the related letter of transmittal and certain other offer documents, as well as the solicitation/recommendation statement, will be made available to all shareholders of SierraCities.com Inc. at no expense to them. The tender offer statement (including the offer to purchase, the related letter of transmittal and all other offer documents filed with the Securities and Exchange Commission) and the solicitation/recommendation statement will also be available for free at the Securities and Exchange Commission's web site at www.sec.gov. Certain of the statements contained herein, including the time period in which the transaction may be completed, are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. of future expectations. Actual events may differ materially from these expectations, due to, among other things, the receipt of required regulatory approvals and the number and timing of shares actually tendered in the offer. |
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