Electronics For Imaging, Inc. (NASDAQ:EFII), the world leader in customer-focused digital printing innovation announced that it closed its previously announced sale of a portion of its real estate in Foster City, California, to Gilead Sciences, Inc. (“Gilead”).
Pursuant to this transaction the Company sold certain real property to Gilead for a total purchase price of $137.5 million, subject to an escrow holdback of approximately 11%. The property sold included approximately thirty acres of land, which is entitled for development, the office building located at 301 Velocity Way consisting of approximately 163,000 square feet, and certain other assets related to the property.
The Company retains ownership of the remaining land and the office building located at 303 Velocity Way consisting of approximately 295,000 square feet on approximately five acres of land, which is the Company’s current headquarters.
The Company currently anticipates using a portion of the after tax proceeds to fund a share repurchase program, subject to approval by the Board of Directors.
“We are very pleased to deliver on our commitment to monetize our real estate assets which was a key objective in our plan to restore shareholder value,” said Guy Gecht, CEO of EFI. “The current business environment heightens the necessity to most effectively utilize our assets and this transaction allows us to monetize this previously undervalued asset.”
Jones Lang LaSalle acted as a real estate advisor to the Company.
EFI ( www.efi.com ) is the world leader in customer-focused digital printing innovation. EFI’s award-winning solutions, integrated from creation to print, deliver increased performance, cost savings and productivity. The company’s robust product portfolio includes Fiery® digital color print servers; VUTEk® superwide digital inkjet printers, UV and solvent inks; Rastek UV wide-format inkjet printers; Jetrion® industrial inkjet printing systems; print production workflow and management information software; and corporate printing solutions.
About Gilead Sciences
Gilead Sciences (NASDAQ:GILD) is a biopharmaceutical company that discovers, develops and commercializes innovative therapeutics in areas of unmet medical need. The company’s mission is to advance the care of patients suffering from life-threatening diseases worldwide. Headquartered in Foster City, California, Gilead has operations in North America, Europe and Australia.
Safe Harbor for Forward Looking Statements
Certain statements in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Statements other than statements of historical fact including words such as “anticipate”, “believe”, “estimate”, “expect”, “consider” and “plan” and statements in the future tense are forward looking statements. The statements in this press release that could be deemed forward-looking statements include statements regarding the lease by EFI of a portion of 301 Velocity Way from Gilead, Company’s plans relating to the use of the after tax proceeds from the transaction, management’s plans to restore shareholder value, and any statements or assumptions underlying any of the foregoing.