AeroCentury Corp. Announces Details Regarding Special Dividend in Connection with Chapter 11 Exit
AeroCentury Corp. has announced a special dividend of $0.6468 per share for its Legacy Shareholders, in conjunction with its planned exit from Chapter 11 reorganization. The dividend will be payable on October 13, 2021, to shareholders on record as of September 30, 2021, which is also the anticipated effective date of the company's restructuring plan. The dividend payment is contingent on the successful closing of a common stock investment by a plan sponsor group led by YuCheng Hu.
- Special dividend of $0.6468 per share benefits Legacy Shareholders.
- Company is exiting Chapter 11, indicating financial recovery.
- Dividend payment is contingent on closing of common stock investment, introducing uncertainty.
BURLINGAME, Calif., Sept. 22, 2021 (GLOBE NEWSWIRE) -- In connection with AeroCentury Corp.’s (the “Company”) impending exit from Chapter 11 reorganization, as set forth in the Combined Disclosure Statement and Joint Chapter 11 Plan of Reorganization of AeroCentury Corp, and Its Affiliated Debtors Docket No. 0282 (the “Plan”), which Plan was previously described in the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on August 31, 2021, the Company today announced details regarding the special dividend (the “Dividend”) to be paid to stockholders (“Legacy Shareholders”) that hold shares of Common Stock of the Company as of the effective date of the Plan prior to the sale and issuance of Common Stock of the Company to the plan sponsor group led by YuCheng Hu (“Plan Sponsor:”).
The record date for the Dividend will be September 30, 2021, which is the anticipated effective date of the Plan. The dividend rate will be
About AeroCentury: AeroCentury is an independent global aircraft operating lessor and finance company specializing in leasing regional jet and turboprop aircraft and related engines. The Company's leases aircraft to regional airlines and commercial users worldwide.
This press release contains forward-looking statements within the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. All statements in this press release other than statements that are purely historical are forward-looking statements. Forward-looking statements in this press release include statements regarding the Company’s anticipated exit from Chapter 11 proceedings on September 30, 2021 and the closing of the common stock financing with the Plan Sponsor, and applicable bankruptcy court approvals necessary to fulfill the Plan. The forward-looking statements in this press release and the Company’s future results of operations are subject to additional risks and uncertainties set forth under the heading “Factors that May Affect Future Results and Liquidity” in documents filed by the Company with the Securities and Exchange Commission, including the Company's quarterly reports on Form 10-Q and the Company’s latest annual report on Form 10-K, and are based on information available to the Company on the date hereof. The Company does not intend, and assumes no obligation, to update any forward-looking statements made in this press release. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this press release.
Hal Lyons
Chief Financial Officer
(650) 340-1888
FAQ
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