Printer Friendly

KATY INDUSTRIES, INC. RECEIVES LETTER OF INTENT

 ELGIN, Ill., Sept. 3 /PRNewswire/ -- Katy Industries, Inc. (NYSE: KT) today announced that its board of directors received a letter from Rosecliff, Inc. and Pensler Capital Corp. proposing to acquire all of the company's outstanding common stock at a price of $29 per share. Katy said that the letter states that the proposal is subject to, among other things, Rosecliff and Pensler obtaining definitive financing commitments. Katy said that the letter stated that Rosecliff and Pensler "desire to proceed only on a friendly basis" and "shall not pursue the transaction through an unsolicited tender offer."
 Katy said that as previously disclosed in its proxy materials mailed to stockholders last month, the members of the Carroll Family, who hold approximately 52 percent of Katy's outstanding shares, have advised the board of directors that the family is not interested in selling its majority interest in Katy. Katy further stated that the Carroll Family reiterated its position to the board following review of the letter from Rosecliff and Pensler.
 As previously announced and described in Katy's proxy materials, Katy has entered into a binding merger agreement dated March 23, 1993 pursuant to which members of the Carroll Family will acquire all of the common stock of Katy not already owned by such members at a price of $25.75 per share in cash through a merger of a family-owned corporation into Katy. Katy said that the stockholders' meeting for the purpose of considering and voting upon the merger is set for Sept. 16, 1993. As previously reported and set forth in Katy's proxy materials, members of the Carroll Family have entered into an agreement to vote all shares held by them in favor of the merger agreement.
 Headquartered in Elgin, Katy Industries is a producer of industrial products, industrial components and consumer products.
 -0- 9/3/93
 /CONTACT: Paul Kurowski, secretary of Katy Industries, 708-697-8900/
 (KT)


CO: Katy Industries, Inc.; Pensler Capital Corp.; Rosecliff, Inc. ST: Illinois IN: MAC SU: TNM

TS -- NY009 -- 8733 09/03/93 09:43 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 3, 1993
Words:337
Previous Article:SCIMED TO SET UP RESERVE FOR JAPAN INVENTORY REPURCHASE
Next Article:CONNECTICUT $198 MIL. TRANS. RFD. BONDS RATED 'AA-' BY FITCH -- FITCH FINANCIAL WIRE --
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters