July 1, 2014
Nicholas Financial Announces Board Changes;
Discontinuance of Exploration of Strategic Alternatives
Clearwater, Florida, - July 1, 2014 – Clearwater, Florida - Nicholas
Financial, Inc. (the “Company”) (NASDAQ: NICK) is filing
this Current Report on Form 8-K to report that, on June 25, 2014,
Peter L. Vosotas, the founder of the Company, resigned as Chairman
of the Board and a director of the Company after having served in
suchcapacities for almost 30 years. Mr. Vosotas’ decision was based
on personal reasons and was not the result of any disagreement with
the Company on any matters relating to the Company’s operations,
policies or practices.
On July 1, 2014, the Company’s Board of
Directors (the “Board”) unanimously appointed Ralph T. Finkenbrink,
the Company’s President and Chief Executive Officer, to serve as
Chairman of the Board. The Board also unanimously elected Kevin D. Bates,
the Company’s Senior Vice President – Branch Operations, as a director to
fill the vacancy created by Mr. Vosotas’ resignation. On July 1, 2014, the
Board also determined to discontinue its previously announced exploration
of possible strategic alternatives for the Company, including, but not
limited to, the possible sale of the Company to Prospect Capital Corporation
or another third party, potential acquisition and expansion opportunities
and/or a possible debt or equity financing. After careful consideration,
the Board determined that the Company and its shareholders’ interests
will be best served at this time by the Company focusing on its operations
as a stand-alone entity.
The 2014 Annual General Meeting of Shareholders of
the Company, which was tentatively scheduled to be held on July 30, 2014,
will be held on August 12, 2014. The record date for such Annual General
Meeting is June 24, 2014. The Company anticipates mailing a proxy statement
and related materials on or about July 11,2014 to shareholders entitled to
vote at the 2014 Annual General Meeting of Shareholders.
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Nicholas Financial, Inc.