Texas Thrift Takes Control of Christiana
A Dallas-based financial institution Tuesday purchased 39% of Christiana Cos.’ common stock, marking the second time in 10 months that an out-of-town investor has taken control of San Diego-based Christiana.
Western Savings Assn., with $1.6 billion in assets, said it bought 930,000 shares of Christiana common stock, about 39% of the total outstanding.
THe price was not disclosed.
Of those shares, 698,700 were purchased through Western’s acquisition of Summit Savings Assn., the Plainview, Tex.-based savings and loan controlled by investor John H. Roberts Jr.
Roberts also sold Western Savings 231,300 shares that he bought earlier this year from the Fenton family, which previously controlled Christiana.
As a result of the purchase, Western Savings owner Jarrett E. Woods Jr. was elected Christiana chairman and chief executive. Concurrently, Christiana directors Roberts, John P. Holmes, Martin Fenton and Wendell Fenton all resigned Tuesday.
Two other Western Savings officers, Bernard V. Carrico Jr. and Joseph Biegel, were elected Christiana directors, and Carrico was named president and chief operating officer.
Roberts’ 39% investment in Christiana, purchased in several stages, totaled nearly $9.1 million.
Roberts was elected chairman and chief executive of Christiana in February following his purchase of 28% of Christiana common stock in October, 1984, from Carma Ltd., a Canadian real estate development firm. He paid $9 per share for 698,700 shares.
Roberts later paid $12 per share for the Fentons’ stock.
Roberts’ takeover of Christiana spelled a change of direction and a change of headquarters for the real estate investment and development firm.
Christiana branched into other industries--including last June’s purchase of F.A.O. Schwarz, a New York-based retailer of upscale children’s toys--and it was in the midst of relocating all operations to New York.
The headquarters move was to be completed in January.
About one dozen Christiana employees remain in San Diego; they compose the company’s real estate development division.
Christiana recently signed a five-year lease for about 4,500 square feet of space in the La Jolla Gateway II project in the Golden Triangle area. The company’s lease of 5,500 square feet in the downtown Central Savings building expires at the end of January.
“We have no idea what will happen to us,” said one Christiana employee here. “We had no clue this would happen; we just found out about it (Tuesday).”
Neither Woods nor Roberts could not be reached for comment Tuesday.
