Foothill Hails New Investors’ Stock Purchase

The Foothill Group Inc., a financial services company with executive offices in Agoura Hills and West Los Angeles, said its largest stockholder, Santa Cruz Resources Inc., has sold its 38% stake in Foothill to several institutional and individual investors.

Santa Cruz Resources is an indirect subsidiary of Tucson Electric Power Co., an ailing utility that came close to being forced into Chapter 11 bankruptcy by its largest creditors. Foothill president and co-chief executive John F. Nickoll said in a statement: “We view this development as very positive for Foothill. It . . . eliminates a large potential overhang on our stock.”

The new investors, which Foothill did not identify, each own less than 9.9% of Foothill’s outstanding common shares, the company said.