United Capital Corp.’s stock buyback will mean a nice payday for A.F. Petrocelli, the Great Neck real state company’s chairman, president and chief executive.
As part of its voluntary delisting from the New York Stock Exchange, the company is buying back up to 3.6 million of its nearly 9 million share outstanding. It purchased 400,000 shares from Petrocelli at $25.39 each, the closing price on June 6, according to a Securities and Exchange Commission filing. That’s about $10.2 million. The shares had a par, or face value, of 10 cents each, or $40,000.
No word on how long he held the shares, as Petrocelli didn’t return phone calls seeking comment.
The company has offered to buy back other shares at $30 each, a premium over the June 16 closing price of $27.34 each.
Among the reasons for delisting the stock, United Capital said the shares were thinly traded, and it doesn’t see the need to raise additional capital.