Midas Raises Ownership Limit for Certain Long-Term Shareholders
ITASCA, Ill. (BUSINESS WIRE) -- Midas, Inc. (NYSE: MDS) announced today that its board of directors has amended the company's existing rights agreement to allow certain long-term shareholders to increase their ownership of the company.
The rights agreement, adopted on Dec. 7, 2007, effectively restricts a shareholder from acquiring 20 percent or more of the outstanding shares.
The newly adopted amendment allows an institutional investor which has held five percent or more of Midas' common shares continuously throughout the past three years to acquire additional shares without becoming an "acquiring person," so long as it does not own 24.5 percent or more of the company's outstanding common shares.
The rights will expire on Dec. 31, 2017, unless previously redeemed, exercised or exchanged.
Additional information is available in the Form 8-K which was filed today with the Securities and Exchange Commission.
Midas is one of the world's largest providers of automotive service, offering brake, maintenance, tires, exhaust, steering and suspension services at more than 2,400 franchised, licensed and company-owned Midas shops in 15 countries, including nearly 1,650 in the United States and Canada. Midas also owns the SpeeDee Oil Change business, with 170 auto service centers in the United States and Mexico.
FORWARD LOOKING STATEMENTS AND RISK FACTORS
This news release contains certain forward-looking statements that are based on management's beliefs as well as assumptions made by and information currently available to management. Such statements are subject to risks and uncertainties, both known and unknown, that could cause actual results, performance or achievement to vary materially from those expressed or implied in the forward-looking statements. The company may experience significant fluctuations in future results, performance or achievements due to a number of economic, competitive, governmental, technological or other factors. Additional information with respect to these and other factors, which could materially affect the company and its operations, is included in the company's filings with the Securities and Exchange Commission, including the company's 2008 annual report on Form 10-K and subsequent filings.
SOURCE: Midas, Inc.