SOURCE: Ranch Capital, LLC

February 17, 2010 18:43 ET

Ranch Capital Reaches Agreement With the OEC of Fremont General Corporation

SAN DIEGO, CA--(Marketwire - February 17, 2010) - Ranch Capital, LLC ("Ranch Capital") is pleased to announce that it has reached an agreement (the "Agreement") with the Official Committee of Equity Holders (the "OEC") of Fremont General Corporation ("Fremont") (PINKSHEETS: FMNPQ) whereby Ranch Capital will withdraw its Plan and support the OEC Plan. Accordingly, Ranch Capital urges all shareholders and creditors to accept the OEC Plan for the reorganization of Fremont and to reject all other plans.

The Agreement contemplates employing Ranch Capital management on an interim basis while long-term management arrangements are completed by the new Board of Directors and Ranch Capital. Additionally, the interim Board of Directors will contain two members from Ranch Capital if the TOPrS reject the OEC Plan and one member from Ranch Capital if the TOPrS accept the OEC Plan. These Board members will serve until a formal stockholders meeting can be conducted and a regularly constituted Board can be elected. The formal stockholders meeting will be held as soon as the final details on the stock registration are agreed upon with the SEC.

Lawrence S. Hershfield, Ranch Capital's Chief Executive Officer, stated, "We are excited to combine with the OEC in an effort to maximize the value of Fremont for its shareholders and creditors, and we appreciate the OEC's confidence in our ability to do so. We are gratified that the OEC chose to combine with Ranch Capital, instead of either of the other plan proponents with turnkey management. We believe that our experience and expertise, in combination with that of the other Board members that will be appointed by the OEC, will create the best alternative for Fremont's shareholders and creditors."

Please join us in accepting the OEC Plan for the reorganization Fremont and rejecting all other plans. Any shareholder or creditor that has already submitted his or her ballot and wishes to change such ballot should contact Kurtzman Carson Consultants LLC ("KCC") at (888) 647-1732 or at http://www.kccllc.net/fremontgeneral. Please note that votes must be received by KCC by March 5, 2010.

About Ranch Capital
Ranch Capital is a private equity firm founded in October 2002 that specializes in unique investment opportunities that represent significant growth opportunities or are undervalued, out of favor or in need of financial or operational restructuring. Founders Lawrence S. Hershfield and Randall L. Jenson possess more than 30 years of relevant senior management experience in leading, managing, operating, improving and investing in companies.

Since its inception, Ranch Capital and its partners have committed approximately $2 billion of capital, including significant investments in companies or assets in Financial Services, Real Estate, Energy, Mining, Transportation and Gaming. Ranch Capital has partnered with some of the most well-respected investors in the world, including Berkshire Hathaway, Inc., Leucadia National Corporation, the Royal Bank of Scotland and Bregal Investments. Investments to date have ranged in size from $2 million to over $500 million.

Cautionary Statements
This news release contains forward-looking information. Statements contained in this news release relating to future results, events and expectations 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. These forward-looking statements may involve known and unknown risks and other factors and uncertainties which may cause the actual results to be materially different from those expressed or implied by such statements. Ranch Capital does not have any intention or obligation to update forward-looking statements included in this press release after the date of this press release, except as required by law. No stock exchange or regulatory authority has approved or disapproved of the information contained herein.

Contact Information

  • For further information please contact:

    Ranch Capital, LLC
    Lawrence S. Hershfield
    Chief Executive Officer
    Telephone: (858) 523-1799
    E-Mail:Email Contact
    Website:www.ranchcapital.com