SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15 (d) of the
Securities Exchange Act of 1934
Date of Report 3-20-2000
Dynamic Homes, Inc.
Exact Name of Registrant as Specified in its Charter
Minnesota 08585 41-0960127
State or other jurisdiction Commission IRS Employer Identification Number
525 Roosevelt Ave, Detroit Lakes MN 56501
Address of Principal Executive Offices Zip Code
Registrant's telephone number, including area code (218)-847-2611
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Item 1. CHANGES IN CONTROL OF REGISTRANT.
None
Item 2. ACQUISITION OR DISPOSITION OF ASSETS.
None
Item 3. BANKRUPTCY OR RECEIVERSHIP.
None
Item 4. CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT.
None
Item 5. OTHER MATERIALLY IMPORTANT EVENTS.
On March 20, 2000, Registrant announced that Shagawa Resort, Inc., a
wholly owned subsidiary of the Registrant, had entered into a Purchase Agreement
dated as of March 17, 2000, with Grand Ely Lodge, LLC, a Minnesota limited
liability company. Pursuant to the Purchase Agreement, Shagawa Resort, Inc. will
sell its assets, including the real property known as Holiday Inn SunSpree
Resort, to Grand Ely Lodge, LLC in exchange for a purchase price of $2,300,000
plus the assumption of various obligations of the Resort. The press release
announcing the transaction is attached hereto as Exhibit 99.1 and is
incorporated herein by reference.
Item 6. RESIGNATIONS OF REGISTRANT'S DIRECTORS
None
Item 7(c). EXHIBITS.
99.1 Press Release issued by Dynamic Homes, Inc. on March 20, 2000.
SIGNATURES
Pursuant to the requirements of the Securities Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Registrant: Dynamic Homes, Inc.
SCOTT D. LINDEMANN (President, CEO)
Dated: March 21, 2000
EXHIBIT INDEX
99.1 Press Release issued by Dynamic Homes, Inc. on March 20, 2000
FOR IMMEDIATE RELEASE
DYNAMIC HOMES ANNOUNCES SALE OF SHAGAWA RESORT
STRATEGIC SALES TO ENABLE DYNAMIC TO FOCUS ON CORE HOMEBUILDING BUSINESS
March 20, 2000 - Detroit Lakes, MN - Dynamic Homes, Inc. (Nasdaq: DYHM) today
announced that it has signed a purchase agreement for the sale of the assets of
Shagawa Resort, Inc. to Grand Ely Lodge, LLC.
The purchase agreement calls for a purchase price of $2,300,000 plus the
assumption of various obligations of the resort, which has operated under the
license of a Holiday Inn SunSpree Resort since its inception in 1996. The sale
is expected to close by May 1, 2000, subject to certain contingencies.
Scott D. Lindemann, Dynamic's president, said the sale of this resort is a
highly positive development for the Company, since resort property management is
not a strategic fit with Dynamic's core competency in home construction. As a
result, the sale of the resort will allow Dynamic to refocus its efforts on the
modular home market.
As previously reported in November, 1999, the Company has retained the services
of Dougherty Summit Securities, LLC to assist the Company in exploring strategic
alternatives for enhancing shareholder value, which may include the merger of
the Company or the sale of its remaining assets. There can be no assurance this
exploration will result in proposals acceptable to the Company or that any
transaction will be completed.
Dynamic Homes is a leading regional builder of modular single-family homes and
multi-family/commercial buildings. Its products are marketed through a network
of builder/dealers in Minnesota, Iowa, Nebraska, North Dakota, South Dakota and
Wisconsin.
# # #
For additional information, contact:
Scott D. Lindemann, President
(218) 847-2611
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Statements about the Company's anticipated performance are forward-looking and
therefore involve certain risks and uncertainties, including but not limited to:
the strength and timing of incoming orders, interest rates, the health of the
region's agricultural economy, competitive considerations, and other factors
detailed from time to time in the Company's filings with the Securities and
Exchange Commission.
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