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 (Date of earliest event reported) October 10, 1996
KOGER EQUITY, INC.
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(Exact name of registrant as specified in its charter)
Florida 1-9997 59-2898045
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(State of incorporation (Commission (IRS Employer
or organization) File Number) Identification No.)
3986 Boulevard Center Drive
Jacksonville, Florida 32207
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number: (904) 398-3403
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N/A
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(Former name or former address, if changed since last report)
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Item 5. Other Events.
Reference is made to a copy of the Koger Equity, Inc. News Release
dated October 10, 1996, which is filed as Exhibit 99 to this report, which
exhibit is incorporated herein by reference.
Item 7. Financial Statements and Exhibits.
(c) Exhibits
Exhibit Number Description of Exhibit
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99 Koger Equity, Inc. News Release
dated October 10, 1996.
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SIGNATURE
Pursuant to the Requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
KOGER EQUITY, INC.
Date: October 11, 1996 By: W. Lawrence Jenkins
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W. Lawrence Jenkins
Title: Vice President and
Corporate Secretary
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EXHIBIT INDEX
The following designated exhibit is filed herewith:
Exhibit
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99 Koger Equity, Inc. News Release, dated
October 10, 1996.
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EXHIBIT 99
N E W S
KOGER EQUITY ANNOUNCES SALE OF 3,000,000 SHARES
JACKSONVILLE, FLORIDA, October 10, 1996 -- Koger Equity, Inc. (ASE:KE) announced
today that it has completed a private placement of 3 million shares of its
common stock to an affiliate of Apollo Real Estate Investment Fund II, L.P. for
an aggregate sales price of $43.5 million. The Company will apply the proceeds
from this sale to the repayment of indebtedness and other corporate purposes. As
a part of the agreement between Apollo and Koger, the Company has increased the
size of its Board from eight members to twelve members. The four new members
include J. C. Teagle, the Company's Chief Operating Officer, and three Apollo
designees, William L. Mack, Lee S. Neibart, and W. Edward Scheetz.
After this purchase and the exercise of options to acquire additional shares
from certain existing shareholders, Apollo will own approximately 22.6% of the
outstanding shares of the Company. Apollo also has the right to increase its
share ownership up to 25% of the outstanding shares of the Company.
Victor A. Hughes, Jr., Chairman of the Board and CEO of Koger said, "I am very
enthusiastic about having Apollo as a strategic investor. The Apollo
organization has considerable real estate expertise with the ability to enhance
the Company's own capabilities in identifying attractive real estate investment
opportunities. They have a demonstrated track record of successful investing in
public real estate companies, especially in Koger Equity's markets. This equity
infusion, in combination with the restructuring of our long term debt and
establishment of a revolving credit facility, both of which are expected to be
completed by year-end, will provide Koger Equity with a stronger balance sheet,
greater financial flexibility, and increasing opportunities for growth."
Ed Scheetz of Apollo said, "We are pleased to have the opportunity to increase
our investment in Koger. We believe the Company is extraordinarily well
positioned to capitalize on development and acquisition growth opportunities in
the attractive Southeast and Southwest markets."
Bear Stearns & Co., Inc. acted as Apollo's financial advisor with respect to the
transaction. David Hiley, a Koger Director, and Rothschild Realty, Inc. acted as
advisors to Koger Equity for the transaction.
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