Republic Group Agrees to Takeover by First Sierra
<i> Dow Jones</i>
Republic Group Inc., a privately held Anaheim company that finances equipment leases for small businesses, agreed to be acquired by First Sierra Financial Inc. in a stock deal valued at about $31.4 million.
Republic Group Chief Executive Mark G. McQuitty and President James T. Raeder will keep their positions. The company has 113 salespeople on its staff of 170.
Houston-based First Sierra, a specialty finance company, earned $2.4 million, or 24 cents a share, on $6.8 million in revenue in 1997.
First Sierra said the pooling-of-interests transaction should close within the next month and add to earnings in 1998 and 1999.
First Sierra shares rose $1.75, to $30, in Nasdaq trading Wednesday.
