CELADON GROUP, INC. INDIANAPOLIS, Oct. 22, 2018 /PRNewswire/ -- Celadon Group, Inc. ("Celadon," the "Company," "we," or "us") (OTCPink: CGIP) today announced it has completed the sale of its approximately 49.9% equity interest in 19th Capital Group, LLC ("19th Capital") to an affiliate of Element Fleet Management ("Element") for nominal value. The sale closed on October 19, 2018, pursuant to the Company's previously announced agreement with Element.
Paul Svindland, Celadon's Chief Executive Officer, commented, "We are pleased to announce the sale of our interest in 19th Capital has closed. The sale marks the final stage in Celadon's exit from the equipment sales and leasing business, which significantly contributed to increased indebtedness and operational difficulties for the Company in fiscal years 2016 and 2017 as well as to the largest of our financial restatement issues. We look forward to continuing our focus on streamlining non-core assets, executing the operational turnaround in our core trucking business, completing our audit and restatement process, and refinancing our existing credit agreement into a long-term capital structure."
About Celadon
Celadon Group, Inc. (www.celadongroup.com), through its subsidiaries, provides long haul, regional, local, dedicated, intermodal, temperature-protect, and expedited freight service across the United States, Canada, and Mexico. The Company also owns Celadon Logistics Services, which provides freight brokerage services, freight management, as well as supply chain management solutions, including logistics, warehousing, and distribution.
This press release contains certain statements that may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended and such statements are subject to the safe harbor created by those sections and the Private Securities Litigation Reform Act of 1995, as amended. Such statements may be identified by their use of terms or phrases, including "look forward," "expects," "expected," "will," "would," "could," "intends," "believes," "anticipates," "future," and similar terms and phrases. Forward-looking statements are based upon the current beliefs and expectations of the Company's management and are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, which could cause future events and actual results to differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. In this press release, statements relating to the Company's execution of its strategic plan, the completion of its audit and restatement process, obtaining a long-term capital structure, and its operational turnaround, among others, are forward-looking statements. Actual results may differ from those set forth in the forward-looking statements. Readers should review and consider these and other factors that could impact results as provided in various disclosures by the Company in its press releases, stockholder reports, and filings with the SEC.
For more information:
Thom Albrecht
Chief Financial and Strategy Officer
(317) 972-7030
talbrecht@celadontrucking.com
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SOURCE Celadon
