Waltham, Massachusetts, June 24, 2021 (GLOBE NEWSWIRE) – Great Elm Group, Inc. (“GEG” or “Great Elm”) (NASDAQ: GEG), a diversified holding company, today announced the sale of all of its ownership interests in two Class A office buildings located in Fort Myers, Florida (collectively the Real Estate Business “), A subsidiary of Monomoy Properties, LLC (” Monomoy “), a private REIT industrial property company operated by Imperial Capital Asset. Management, LLC, for a cash payment of $ 4.6 million. Under the terms of the deal, GEG invested the proceeds from the sale in newly issued interests in Monomoy. GEG acquired the real estate business in March 2018 for $ 2.7 million.
“This is a great deal for GEG,” said Peter A. Reed, CEO of GEG. “This improves our overall capitalization as real estate related debt will no longer be included in GEG’s financial statements, resulting in consolidated operating and leverage ratios that are more reflective of our current operating businesses.”
Read further stated: “In addition, this transaction is beneficial both strategically and in terms of risk management as it diversifies our holdings from a single property to an equity stake in a diversified portfolio of industrial property REITs with additional benefits in the form of cash flow for the company is created due to ongoing dividend payments and increased liquidity. “
Additional details and information about the transaction, including preliminary financial information, are available in the current Form 8-K report filed today by GEG with the Securities and Exchange Commission.
About Great Elm Group, Inc.
Great Elm Group, Inc. (NASDAQ: GEG) is a publicly traded holding company that builds business in two operational verticals: investment management and operating companies. Great Elm Group, Inc. website can be found at: www.greatelmgroup.com…
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