Poised to Capitalize on Highly Attractive
Dynamics in U.S. Residential Real Estate Market as an Independent
Company
Douglas Elliman Inc. (NYSE: DOUG) (“Douglas Elliman”) today
announced that it has completed its previously announced spin-off
from Vector Group Ltd. (NYSE: VGR). Douglas Elliman will begin
trading today on the New York Stock Exchange under the symbol
“DOUG” and has been added to the S&P SmallCap 600®, effective
prior to the open of trading today.
Douglas Elliman Realty, LLC is one of the largest residential
brokerage companies in the New York metropolitan area and the sixth
largest in the U.S. Douglas Elliman has an established and growing
presence in most major luxury markets – primarily international
finance and technology hubs that are densely populated and offer
housing inventory at premium pricing points. Douglas Elliman’s
attractive financial profile includes a strong balance sheet with
$200 million of net cash and significant operating leverage,
supported by a track record of impressive revenue growth,
disciplined expense management led by seasoned industry executives,
healthy margins and limited capital expenditures.
As a standalone company, Douglas Elliman will leverage these
core competencies and differentiated market focus to pursue
profitable growth opportunities through market expansion, retention
and recruitment of best-in-class talent and acquisitions and
acqui-hires. Douglas Elliman will also source, use and invest in
early-stage, disruptive property technology (“PropTech”) solutions
and companies that easily integrate into its technology foundation,
allowing Douglas Elliman to remain flexible, nimble and asset-light
while providing cutting-edge solutions that improve client,
customer and agent experience.
“Today marks an exciting new chapter for Douglas Elliman,” said
Howard M. Lorber, Chairman and Chief Executive Officer of Douglas
Elliman. “As a standalone company, Douglas Elliman will leverage
its differentiated approach, portfolio of innovative technology
services and a best-in-class team of employees and agents to
capitalize on growth opportunities in the highly attractive U.S.
residential real estate market. We believe there is a bright future
ahead for our company as a standalone entity.”
“We are thrilled that Douglas Elliman has reached this milestone
– one that would not be possible without the hard work and
dedication of our incredible agents and employees,” said Scott
Durkin, Chief Executive Officer of Douglas Elliman Realty, LLC. “As
a standalone company, we look forward to building on Douglas
Elliman’s leading luxury brand and longstanding tradition of
excellence, while continuing to drive long-term value for
stockholders.”
About Douglas Elliman Inc.
Douglas Elliman Inc. (NYSE: DOUG) is one of the largest
residential brokerage companies in the New York metropolitan area,
which includes New York City, Long Island, Westchester,
Connecticut, New Jersey and the Hamptons, and the sixth largest in
the U.S., with substantial businesses in California, Colorado,
Texas, Florida and Massachusetts. In addition, Douglas Elliman
sources, uses and invests in early-stage, disruptive property
technology (“PropTech”) solutions and companies and provides other
real estate services, including development marketing, property
management and settlement and escrow services in select markets.
Additional information concerning Douglas Elliman is available on
its website, www.elliman.com.
Investors and others should note that we may post information
about Douglas Elliman on our website at www.elliman.com or, if
applicable, on our accounts on Facebook, Instagram, LinkedIn,
TikTok, Twitter, YouTube or other social media platforms. It is
possible that the postings or releases could include information
deemed to be material information. Therefore, we encourage
investors, the media and others interested in Douglas Elliman to
review the information we post on our website at www.elliman.com
and on our social media accounts.
Special Note on Forward-Looking Statements
This press release may contain “forward-looking statements”
within the meaning of the federal securities laws. Forward-looking
statements include information relating to our intent, belief or
current expectations, primarily with respect to, but not limited
to, economic outlook, capital expenditures, cost reduction, cash
flows, operating performance, growth expectations, competition,
legislation and regulations, litigation, and related industry
developments (including trends affecting our business, financial
condition and results of operations).
Forward-looking statements can be identified by words or phrases
such as “anticipate,” “believe,” “continue,” “could,” “estimate,”
“expect,” “intend,” “may be,” “objective,” “opportunistically,”
“plan,” “potential,” “predict,” “project,” “prospects,” “seek,” and
“will be” and similar words or phrases or their negatives.
Forward-looking statements involve important risks and
uncertainties that could cause our actual results, performance or
achievements to differ materially from our anticipated results,
performance or achievements expressed or implied by the
forward-looking statements. Further information on the risks and
uncertainties to the business of Douglas Elliman include the risk
factors described in the filings of Douglas Elliman with the
SEC.
Factors that could cause actual results of Douglas Elliman to
differ materially from those suggested by forward-looking
statements include: general economic and market conditions, and any
changes therein, due to acts of war and terrorism or otherwise;
governmental regulations and policies; adverse changes in global,
national, regional and local economic and market conditions,
including those related to pandemics and health crises, such as the
outbreak of COVID-19 and the impact of potential COVID-19 variants;
the extent and timing of COVID-19 vaccine administration and the
duration of the COVID-19 pandemic; Douglas Elliman’s ability to
effectively manage the impacts of the COVID-19 pandemic and any
government-mandated or encouraged suspension of our business
operations; the impacts of the Tax Cuts and Jobs Act of 2017,
including its impact on the markets of Douglas Elliman’s business;
effects of industry competition; severe weather events or natural
or man-made disasters, including increasing the severity or
frequency of such events due to climate change or otherwise, or
other catastrophic events may disrupt Douglas Elliman’s business
and have an unfavorable impact on home sale activity; the level of
Douglas Elliman’s expenses, including its corporate expenses as a
stand-alone publicly-traded company; Douglas Elliman’s status as an
emerging growth company; the tax-free treatment of the spin-off;
Douglas Elliman’s lack of operating history as a public company and
costs associated with being an independent public company;
potential dilution to holders of Douglas Elliman’s common stock as
a result of issuances of additional shares of common stock to fund
its financial obligations and other financing activities; the
failure of Douglas Elliman or Vector Group to satisfy its
respective obligations under the agreements entered into in
connection with the spin-off of Douglas Elliman from Vector Group
Ltd.; and the additional factors described under “Risk Factors” in
the registration statement on Form S-1 filed with the SEC by
Douglas Elliman.
The forward-looking statements speak only as of the date they
are made, and we disclaim any obligation to update or revise the
forward-looking statements contained herein, except as otherwise
required by applicable federal securities laws.
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version on businesswire.com: https://www.businesswire.com/news/home/20211229005447/en/
Stephen Larkin Douglas Elliman Inc. 212-891-7042
Emily Claffey / Benjamin Spicehandler / Columbia Clancy Sard
Verbinnen & Co 212-687-8080
Eve Young Sard Verbinnen & Co - Europe +44 (0)20 3178
8914
For financial inquiries:
J. Bryant Kirkland III Douglas Elliman Inc. 305-579-8000
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