User-Friendly Continues to Urge a Vote AGAINST East Asset Management
Transaction
THE WOODLANDS, Texas–(BUSINESS WIRE)–User-Friendly Phone Book, LLC (“User-Friendly”) announced today that it
believes the first quarter financial results of Rand Capital Corporation
(“Rand”) (NASDAQ:RAND) further supports liquidating the portfolio assets
will provide more value to shareholders than the East Asset Management
transaction. In its earnings release of May 2, 2019, Rand reported an
increase in net asset value (“NAV”) to $5.06 per share, highlighting the
steeply discounted $3.00 per share purchase price being offered to East
in the transaction.
Further, Rand management continued to state its view that liquidating
the portfolio would yield less than $3.00 per share. However, this view
is empirically belied by the realization of Rand’s investment in eHealth
Global Technologies, Inc., which provided $3.725 million, or
approximately 6% more than eHealth’s $3.5 million carrying value
reported as of December 31, 2018. User-Friendly believes the realization
of this investment is empirical evidence that supports, contrary to
management’s misleading claims, liquidating the portfolio would yield in
excess of $3.00 per share being paid by East in the transaction.
Management’s statements appear to be driven more by a desire to retain
their excessive compensation arrangements than serving the shareholders’
interests. User-Friendly continues to believe that management and the
Rand Board of Directors have agreed to sell control of Rand for
materially inadequate consideration relative to the fair value of Rand’s
assets.
CERTAIN INFORMATION CONCERNING THE PARTICIPANT
User-Friendly Phone Book, LLC (“User-Friendly”) is the sole participant
in this solicitation. User-Friendly has filed a preliminary proxy
statement with the Securities and Exchange Commission (“SEC”) consisting
of a proxy statement and accompanying WHITE proxy card to be used to
solicit proxies to vote against the proposed transaction with East Asset
Management, LLC at the Special Meeting of Stockholders of Rand Capital
Corporation (the “Company”) scheduled to be held on May 16, 2019.
USER-FRIENDLY STRONGLY ADVISES ALL STOCKHOLDERS OF THE COMPANY TO
READ THE PROXY STATEMENT AND OTHER PROXY MATERIALS AS THEY BECOME
AVAILABLE BECAUSE THEY CONTAIN IMPORTANT INFORMATION. SUCH PROXY
MATERIALS ARE AVAILABLE AT NO CHARGE ON THE SEC’S WEB SITE AT HTTP://WWW.SEC.GOV.
IN ADDITION, USER-FRIENDLY WILL PROVIDE COPIES OF THE PROXY STATEMENT
WITHOUT CHARGE UPON REQUEST. REQUESTS FOR COPIES SHOULD BE DIRECTED TO
USER-FRIENDLY’S PROXY SOLICITOR, MACKENZIE PARTNERS, INC., TOLL-FREE AT
(800) 322-2885 or (212) 929-5500.
As of the date hereof, User-Friendly owns 1,455,993 shares of common
stock of the Company, representing approximately 23.0% of the issued and
outstanding shares of the Company.
About User-Friendly Phone Book
Operating since 1999, User Friendly Media boasts a portfolio of print,
digital and mobile marketing solutions for small business. The company’s
product suite includes 35 print directories, User Friendly Apps, a
mobile app builder, User Friendly Mobile ads, a platform for serving
locally-targeted mobile ad impressions and GoLocal247.com, one of the
fastest growing local business directory websites in the country.
Contacts
Matthew Bretzius
FischTank Marketing and PR
[email protected]
