As part of its corporate restructuring program,...

As part of its corporate restructuring program, Cardis Corp. of Buena Park has signed a letter of intent to sell its New Apollo warehouse division in Carson to a recently formed group of investors for $8.3 million in cash and notes, plus about $1.5 million in estimated receivable collections. The New Apollo transaction is subject to the signing of a definitive agreement and is anticipated to close by mid-April, Cardis president James E. Lane said. Cardis, the parent company of Tuneup Masters, expects to realize net proceeds from the sale of approximately $5 million, approximately half of which will be applied to reducing bank debt, with remaining funds used to augment working capital, Lane said. The investor group is led by Sheldon Gray, a Chicago businessman. New Apollo, a discount automotive parts distribution outlet, was acquired by Cardis in 1986. The existing management and staff will continue with Donald Cash as president. Cash is part of the investor group.