AUSTIN, Texas--(BUSINESS WIRE)--Nov. 17, 2014--
Forestar Group Inc. ("Forestar") (NYSE: FOR) today acknowledged that
SpringOwl Associates LLC and Cove Street Capital, LLC have filed a
Schedule 13D with the Securities and Exchange Commission reporting that
they have acquired beneficial ownership of approximately 6.2% of the
company’s common stock.
“As a company, we have maintained, and will continue to encourage open
communication with all Forestar shareholders. In fact, we have had
discussions with both SpringOwl and Cove Street and expect we will
continue to do so. In addition, we are committed to maximizing long-term
shareholder value. Consistent with that goal, the company’s strategy is
focused on recognizing and responsibly delivering the greatest value
from every acre and growing through strategic and disciplined
investments. We are successfully executing our strategy and we are on
target to deliver our Growing FORward initiatives which has
increased earnings, returns and the value of the company,” said Jim
DeCosmo, president and chief executive officer of Forestar.
“The Board and management team are convinced that the execution of our
strategy and Growing FORward strategic initiatives will maximize
and grow long-term shareholder value,” concluded Mr. DeCosmo.
About Forestar Group
Forestar Group Inc. operates in three business segments: real estate,
oil and gas and other natural resources. At third quarter-end 2014, the
real estate segment owns directly or through ventures almost 120,000
acres of real estate located in ten states and 13 markets in the U.S.
The real estate segment has 11 real estate projects representing
approximately 24,400 acres currently in the entitlement process, and 73
entitled, developed and under development projects in eight states and
13 markets encompassing over 11,300 acres, comprised of almost 17,800
planned residential lots and approximately 2,000 commercial acres. The
oil and gas segment includes approximately 948,000 net acres of oil and
gas mineral interests, with approximately 590,000 acres of fee ownership
located principally in Texas, Louisiana, Alabama, and Georgia and
approximately 358,000 net acres of leasehold interests principally
located in Nebraska, Kansas, Oklahoma, North Dakota and Texas. These
leasehold interests include about 8,000 net mineral acres in the core of
the prolific Bakken and Three Forks formations. The other natural
resources segment includes sale of wood fiber and management of our
recreational leases, and approximately 1.5 million acres of groundwater
resources, including a 45% nonparticipating royalty interest in
groundwater produced or withdrawn for commercial purposes from
approximately 1.4 million acres in Texas, Louisiana, Georgia and Alabama
and about 20,000 acres of groundwater leases in central Texas.
Forestar’s address on the World Wide Web is www.forestargroup.com.
Forward Looking Statements
This release contains “forward-looking statements” within the meaning of
the federal securities laws. Forward-looking statements are typically
identified by words or phrases such as “will,” “anticipate,” “estimate,”
“expect,” “project,” “intend,” “plan,” “believe,” “target,” “forecast,”
and other words and terms of similar meaning. These statements reflect
management’s current views with respect to future events and are subject
to risk and uncertainties. We note that a variety of factors and
uncertainties could cause our actual results to differ significantly
from the results discussed in the forward-looking statements, including
but are not limited to: general economic, market, or business
conditions; changes in commodity prices; opportunities (or lack thereof)
that may be presented to us and that we may pursue; fluctuations in
costs and expenses including development costs; demand for new housing,
including impacts from mortgage credit rates or availability; lengthy
and uncertain entitlement processes; cyclicality of our businesses;
accuracy of accounting assumptions; competitive actions by other
companies; changes in laws or regulations; and other factors, many of
which are beyond our control. Except as required by law, we expressly
disclaim any obligation to publicly revise any forward-looking
statements contained in this news release to reflect the occurrence of
events after the date of this news release.
Source: Forestar Group Inc.
Forestar Group Inc.
Anna E. Torma, 512-433-5312