Safeguard Scientifics, Inc. (NYSE:SFE) Files An 8-K Costs Associated with Exit or Disposal ActivitiesItem 9.01.Costs Associated With Exit or Disposal Activities.
On January 16, 2018, the Board of Directors (the “Board”) of Safeguard Scientifics, Inc. (the “Registrant” or the “Company”) approved a change in the Company’s strategy. Under the new strategy, the Company will not deploy capital into new partner companies and will focus on supporting its existing partner companies and maximizing monetization opportunities for partner company interests to enable distributions of net proceeds to shareholders.
This change in strategy will result in the termination of certain employees. The Company expects to recognize a charge of $1.3 million in the first quarter of 2018 in connection with these terminations. Such amounts are expected to be paid in cash within the next twelve months.
Item 9.01. Regulation FD Disclosure.
On January 17, 2018, the Registrant issued a press release announcing the change in strategy referred to in Item 9.01 above. A copy of such press release is attached as Exhibit 99.1 hereto.
Item 9.01.Financial Statements and Exhibits.
SAFEGUARD SCIENTIFICS INC ExhibitEX-99.1 2 exhibit991changeinstrategy.htm EXHIBIT 99.1 Exhibit SAFEGUARD SCIENTIFICS ANNOUNCES CHANGE IN STRATEGY AND OPERATIONSRadnor,…To view the full exhibit click here
About Safeguard Scientifics, Inc. (NYSE:SFE)
Safeguard Scientifics, Inc. provides capital, as well as strategic, operational and management resources to growth-stage businesses. The Company participates in early- and growth-stage financings. The Company operates through two segments: Healthcare and Technology. The Healthcare segment’s companies focuses principally on medical technology (MedTech), including diagnostics and devices, and healthcare technology (HealthTech). The Technology segment’s companies focuses principally on digital media, financial technology (FinTech), and enterprise software, including mobile technology, cloud, Internet of Things (IoT) and big data. It holds interests in approximately 30 non-consolidated partner companies, which are included in the Healthcare and Technology segments. The Company provides management and operational support, as well as ongoing planning and development assessment. It provides mentoring, advice and guidance to develop partner company management.
