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AMRESCO AND BEI AGREE TO MERGE

 ATLANTA, Sept. 24 /PRNewswire/ -- BEI Holdings, Ltd. (NASDAQ-NMS: BEIH) and AMRESCO Holdings, Inc. announced today that they have signed a definitive agreement to merge the two companies to form the largest asset management firm of its kind in the United States.
 BEI, a publicly traded company, and AMRESCO, a firm controlled by CGW Southeast Partners, both specialize in asset management for institutional investors, government agencies and their own accounts.
 Terms call for AMRESCO shareholders to receive approximately 11.1 million shares of BEI Holdings' common stock, or 50 percent of the outstanding stock in the surviving company.
 On June 30, the two companies had combined assets of $118.8 million, cash of $49.2 million and a net worth of $84 million. During the first six months of 1993, revenue and net income for the combined companies was $113 million and $29.3 million, respectively. Net income includes an after-tax gain of $12.8 million on the sale of BEI Golembe.
 Richard L. Cravey, chairman of AMRESCO, will be chairman and CEO of the merged company. Robert L. Adair III, chairman of BEI Real Estate Services, will become the president and COO. The current board of directors will be reduced from 12 to eight members, with equal representation of current BEI directors and AMRESCO representatives.
 The company will be headquartered in Dallas and will employ approximately 1,400 people managing more than $10 billion in assets.
 In a joint statement, Cravey and Gerald E. Eickhoff, president and CEO of BEI, said, "We view the combination of our real estate asset management expertise as an important step that gives the combined company not only increased capability and flexibility, but also strong financial resources."
 The merger is subject to various conditions including shareholder approvals, provisions of the Hart-Scott-Rodino Act and agreement of the RTC and FDIC.
 BEI anticipates calling a special shareholder meeting in late December to vote on the proposal. Proxy statements are expected to be delivered in late October or early November. S.G. Warburg & Co. Inc. is acting as financial advisor to BEI Holdings in connection with this transaction.
 -0- 9/24/93
 /CONTACT: Charles C. Ray Jr. of BEI, 404-315-6060; or Richard L. Cravey, 404-816-3255, or Patricia Dillingham, 214-953-7709, both of AMRESCO/
 (BEIH)


CO: BEI Holdings, Ltd.; AMRESCO Holdings, Inc. ST: Georgia, Texas IN: FIN SU: TNM

RA-BN -- AT002 -- 5322 09/24/93 09:32 EDT
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Publication:PR Newswire
Date:Sep 24, 1993
Words:398
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