Sugar Creek Financial Corp. Announces Dissolution Distribution to Stockholders

Rhea-AI Summary

Sugar Creek Financial Corp. (OTC-PINK: SUGR) has announced a cash dissolution distribution of $17.29 per share for stockholders of record as of February 10, 2023. Payments are expected to be made around February 14, 2023. The company, previously the holding entity for Tempo Bank, is in the process of dissolving its business following a sale to Scott Credit Union in June 2022. Residual funds post-dissolution will likely be donated to charity. Additionally, the company's stock will be removed from the OTC Expert Market around the same time as the cash distribution is paid.

Positive

• Cash dissolution distribution of $17.29 per share approved for stockholders.
• Distribution payment to take place on or around February 14, 2023.

Negative

• Company is dissolving and winding up its business, which will take up to three years.
• Common stock will be removed from the OTC Expert Market around February 14, 2023.

News Market Reaction – SUGR

+22.79%

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+22.79% News Effect

On the day this news was published, SUGR gained 22.79%, reflecting a significant positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

TRENTON, Ill., Jan. 24, 2023 /PRNewswire/ -- Sugar Creek Financial Corp. (the "Company") (OTC Expert Market: SUGR) today announced that its Board of Directors has approved and declared a cash dissolution distribution of $17.29 per share, payable to stockholders of record as of the close of business on February 10, 2023.  The dissolution distribution is expected to be paid on or about February 14, 2023.

Sugar Creek Financial Corp. Announces Dissolution Distribution to Stockholders

The Company is the former holding company of Tempo Bank.  In June 2022, Scott Credit Union, Edwardsville, IL, purchased substantially all of Tempo Bank's assets and assumed substantially all of Tempo Bank's liabilities, including all deposit liabilities.  The Company is in the process of dissolving and winding up its business, which is expected to take up to three years.  In accordance with the Plan of Dissolution and Complete Liquidation approved by the Company's stockholders, the Company intends to donate any residual funds remaining after the wind up is completed, which are expected to be nominal, to one or more charitable organizations.

The Company anticipates that its common stock will be removed from the OTC Expert Market on or about February 14, 2023.  The Company cannot guarantee the exact removal date and does not intend to provide notice of removal once effective.

The Company has appointed Computershare, Inc. ("Computershare"), its transfer agent, to serve as paying agent for the dissolution distribution.  Stockholders who hold shares of Company common stock in book entry form at Computershare will receive checks for their cash distribution, and their shares will be cancelled.  Stockholders who hold shares through a broker or other DTC-registered nominee will receive their cash distribution directly into their account at the broker or other nominee, and their shares will be cancelled. Stockholders who hold certificated shares will receive a Letter of Transmittal from Computershare with instructions on how to return their certificates in exchange for payment of the cash distribution.

View original content:https://www.prnewswire.com/news-releases/sugar-creek-financial-corp-announces-dissolution-distribution-to-stockholders-301729552.html

SOURCE Sugar Creek Financial Corp

FAQ

What is the cash dissolution distribution amount for SUGR?

Sugar Creek Financial Corp. has declared a cash dissolution distribution of $17.29 per share.

When will the dissolution distribution be paid to SUGR stockholders?

The distribution is expected to be paid on or about February 14, 2023.

What happens to SUGR's stock after the dissolution?

The company's common stock will be removed from the OTC Expert Market on or about February 14, 2023.

What is the timeframe for Sugar Creek Financial Corp.'s dissolution process?

The dissolution and winding up of the business is expected to take up to three years.