NEW YORK, Dec. 3, 2013 /PRNewswire/ -- CIFC
Corp. (NASDAQ: CIFC) ("CIFC" or the "Company") announced
today a definitive agreement pursuant to which Columbus Nova, one of the Company's largest
current shareholders, will acquire a controlling interest in the
Company.
Columbus Nova, a New York-based multi-strategy investment firm,
has committed to purchase, in a private transaction (the
"Transaction"), an additional 9,090,909 shares of outstanding
common stock of the Company at $9.00
per share from CIFC Parent Holdings LLC ("CIFC Parent"), which is
controlled by funds managed by Charlesbank Capital Partners.
Following the Transaction, Columbus
Nova will own approximately 71% of the Company's outstanding
shares, assuming conversion of the notes held by Columbus Nova that are convertible into
approximately 4.1 million additional shares. The Transaction is
expected to close before year end and is subject to customary
closing conditions.
Commenting on the Transaction, Andrew
Intrater, Chief Executive Officer of Columbus Nova, stated, "We have been a
significant shareholder in the Company and continue to be excited
about the business. CIFC has successfully begun its
transformation from a monoline CLO issuer to a multi-line private
debt manager. In each of the last two years, CIFC has performed at
the top of its peer group in terms of AUM growth in its core
business and now has over $12 billion
in corporate loan-based AUM. We remain dedicated to supporting the
entire CIFC team and are confident that the Company will continue
on its strong growth path."
In connection with the Transaction, Peter Gleysteen, the Company's Founder,
President and Chief Executive Officer, has entered into a
multi-year contract to serve as Vice Chairman of the Company's
Board of Directors, and will be actively involved in managing
certain of the Company's legacy collateralized loan obligations.
Mr. Gleysteen will continue to serve as the President and Chief
Executive Officer of CIFC until the completion of the succession
process led by CIFC's Board of Directors. In addition, CIFC's
long-standing management committee, whose management members are
Stephen Vaccaro, the Company's Chief
Investment Officer, Oliver Wriedt,
the Company's Head of Capital Markets & Distribution, and Mr.
Gleysteen, will continue to guide the Company's business.
Latham & Watkins LLP served as legal advisor to Columbus Nova. Goodwin Procter LLP served
as legal advisor to CIFC Parent.
About CIFC
CIFC is a fundamentals-based, relative value credit manager. Our
senior management team averages 30 years of credit experience
having managed credit businesses in every cycle since the 1980's.
Headquartered in New York, CIFC is
an SEC registered investment adviser and a publicly traded company
(NASDAQ: CIFC). We currently serve over 200 institutional investors
globally. For more information, please visit CIFC's website at
www.cifc.com.
Forward-Looking Statements
This release may contain forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934 which reflect CIFC's
current views with respect to, among other things, CIFC's
operations and financial performance. You can identify these
forward-looking statements by the use of words such as "outlook,"
"believes," "expects," "potential," "continues," "may," "will,"
"should," "seeks," "approximately," "predicts," "intends," "plans,"
"estimates," "anticipates" or the negative version of these words
or other comparable words. Such forward-looking statements are
subject to various risks and uncertainties. Accordingly, there are
or will be important factors that could cause actual outcomes or
results to differ materially from those indicated in these
statements. CIFC believes these factors include but are not limited
to those described under the section entitled "Risk Factors" in its
Annual Report on Form 10-K for the fiscal year ended December 31, 2012, as such factors may be updated
from time to time in its periodic filings with the Securities and
Exchange Commission, which are accessible on the SEC's website
at www.sec.gov. These factors should not be construed as
exhaustive and should be read in conjunction with the other
cautionary statements that are included in this release and in the
filings. CIFC undertakes no obligation to publicly update or review
any forward-looking statement, whether as a result of new
information, future developments or otherwise.
CIFC
CORP.
250 Park
Avenue
New York, NY
10177
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Investor
Relations
Investor@CIFC.COM
(646)
367-6633
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NASDAQ:
CIFC
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SOURCE CIFC Corp.