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SENTRA, SPELMAN AND TITAN AGREE TO FORM HOLDING COMPANY; NASD OFFICIAL KYE HELLMERS TO BECOME HEAD OF NEW ENTITY

 SENTRA, SPELMAN AND TITAN AGREE TO FORM HOLDING COMPANY;
 NASD OFFICIAL KYE HELLMERS TO BECOME HEAD OF NEW ENTITY
 SAN DIEGO, Aug. 17 /PRNewswire/ -- Sentra Securities Corporation, Spelman & Co., Inc. and Titan Value Equities Group, Inc., have agreed in principle to form a holding company that will provide service and product support, asset management and combined back-office functions for the three national, independent broker-dealers.
 The holding company, to be called Galaxy Capital Corporation (GCC), will be owned and managed by the three firms. Each firm will retain its corporate autonomy and individual identity.
 Kye Hellmers, currently vice president and district director of District 2 of the National Association of Securities Dealers, Inc., (NASD) and a 20-year veteran of the securities industry, has been named president and chief executive officer of the new holding company, effective Oct. 1, 1992.
 "To leave a long career with the NASD was not an easy decision," said Hellmers, "but I feel this is a unique opportunity to participate in the development of a brokerage concept that will best meet the needs of the investing public in the 1990's and beyond.
 "The securities industry is evolving quickly," he added, "becoming more complex and requiring a global approach backed by comprehensive technologies to deliver the personal service clients demand. By offering an improved product and service mix, delivered by an organizational structure tailored to the demands of this competitive environment, I believe we will be able to build a broker-dealer organization that can fulfill the promise of our industry."
 Richard P. Woltman, president and chief executive officer of Sentra and Spelman, and Frank L. King, president and chief executive officer of Titan, will become co-chairmen of GCC's board of directors.
 In a joint announcement, Woltman and King identified a number of benefits of the holding company form of organization.
 "We will be able to combine functions and gain tremendous efficiencies in how we employ our people and equipment," they said. "Significant savings and greater effectiveness will be realized in order processing, communications, accounting, data management and technological support.
 "Beyond these increased operating efficiencies," they added, "we are confident that the sales strength of a much larger broker-dealer network will allow us to broaden our NASDAQ market-making and trading activities, increase our municipal and corporate syndicate activities, gain access to global markets, provide new and better services to our registered representatives and offer new products to clients."
 Galaxy Capital Corporation will have an insurance company subsidiary and will form a Registered Investment Advisory Company. That company will offer asset management and wrap-type asset management accounts through relationships with leading investment management organizations.
 They also said GCC will be able to pursue acquisitions, mergers and other business combinations that will expand the firms' existing offices, add new offices and bring additional high-quality broker- dealers under the holding company's operational umbrella.
 "In our view," they said, "the ultimate beneficiary of the holding company's increased scope of activities will be the investor. We will be able to deliver the best product at the best price, without the conflict of interest inherent in selling proprietary products, and do so efficiently in a competitive operating environment."
 Sentra, Spelman and Titan have approximately 1,600 registered representatives operating through 500 branch offices and are licensed in all 50 states. Consolidated commission revenues for 1992 are estimated to be $60 million.
 Sentra, with approximately 300 representatives and 120 offices, offers financial planning services and product offerings that include mutual funds, fixed income securities and insurance. The firm also provides specialized operational systems and due diligence to other broker-dealers. Sentra pioneered modern back-office technology through its co-development of CAESAR, a widely regarded securities accounting and back office support system.
 Spelman offers a complete range of investment products to clients through approximately 100 professional representatives and 30 offices. Spelman is well recognized for its municipal underwriting and syndicating activities. The firm also functions as a market maker for selected NASDAQ securities.
 Both Sentra and Spelman are headquartered in San Diego, and maintain correspondent clearing arrangements with Broadcort Capital Corp., a subsidiary of Merrill Lynch and Correspondent Services Corp., a subsidiary of Paine Webber.
 Titan transacts business in stocks, bonds, mutual funds, insurance products and limited partnerships and is a registered investment advisor. Headquartered in Tustin, Calif., Titan has approximately 1,200 registered representatives and 350 branch offices. Through a correspondent relationship with Pershing, a division of Donaldson, Lufkin, Jenrette, Inc. Titan provides a full spectrum of brokerage services and investment research to its clients.
 -0- 8/17/92
 /CONTACT: Dan Peoples of Peoples & Co., 619-552-1456, for Spelman & Co./ CO: Sentra Securities Corp.; Spelman & Co., Inc.; Titan Value Equities
 Group, Inc. ST: California IN: FIN SU: JVN


TS-SB -- NY001 -- 0335 08/17/92 07:59 EDT
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Publication:PR Newswire
Date:Aug 17, 1992
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