Post Properties Calls Off Sale, Pursues Other Strategies to Enhance Share Values
- Jun 30, 2008
By Anuradha Kher, Online News EditorAtlanta–After five months of actively pursuing a formal process to sell Post Properties Inc., the company has announced that it received no definitive acquisition proposals. All potential bidders have withdrawn from the sale process and, as a result, the Board of Directors has brought the process to an end. The Board has, however, reaffirmed its commitment to actively pursue other strategies to enhance shareholder value.“We conducted an open and thorough sales process, but conditions in the economy and the financial markets combined to produce a difficult transaction environment,” says David P. Stockert, president and CEO of Post Properties. “We have a strong balance sheet and an experienced and capable management team committed to moving the company forward. We remain optimistic about the longer-term fundamentals for our business. We intend to actively pursue strategies to enhance shareholder value and to position the company so that the value of its assets, business and brand is more fully realized.”The company revealed that it intends to continue pursuing other strategies to enhance the value of its shares. They include:• realizing value through asset sales, the proceeds of which can be used to repay debt, pay potential special dividends or repurchase shares, and fund committed investments; • cutting costs by reducing corporate overhead, development and property management expenses; • pursuing construction loan financing and joint venture equity to fund development activity; and • focusing the company by evaluating the number of markets within which it operates, and the appropriate size of its development pipeline.