NEWARK, N.J.--(BUSINESS WIRE)--IDT Corporation (NYSE: IDT) said today that the New York Stock Exchange (NYSE) will list Genie Energy Ltd., (Genie) Class B common stock with the ticker symbol ‘GNE’ following the tax-free spin-off of Genie to IDT shareholders.
Genie, currently a division of IDT, is comprised of IDT Energy, a retail energy provider, and Genie Oil and Gas, which develops the Company’s unconventional energy initiatives, including its ongoing oil shale projects in Colorado and Israel.
IDT intends to spin-off Genie on or about October 28, 2011 (the ‘distribution date’) by way of a pro rata distribution of Genie Common Stock to IDT’s stockholders. The completion of the spin-off is subject to the Registration Statement on Form 10 for Genie being declared effective by the SEC.
On the distribution date, each IDT stockholder will receive one share of Genie Class A common stock for every share of IDT Class A common stock and one share of Genie Class B common stock for every share of IDT Class B common stock held on or about 5:00 Eastern Time on October 21, 2011 (the ‘record date’).
IDT stockholders who sell their shares of IDT Class B common stock in the ‘regular way’ market prior to or on the distribution date will also be selling their right to receive the distribution of shares of Genie Class B common stock. Stockholders are encouraged to consult with their financial advisors regarding the specific implications of selling IDT Class B common stock.
Genie will ring the opening bell at the New York Stock Exchange on the morning of October 31, 2011 following which IDT expects that Genie will begin trading ‘regular way’.
IDT will mail information statements to all stockholders of IDT as of the record date. The statements will include information regarding the procedure by which the distribution will be effected.
The spin-off is intended to be tax-free to IDT and its shareholders. IDT has received a Private Letter Ruling from the IRS to that effect, and expects to receive an opinion from PriceWaterhouseCoopers LLP as to certain related matters on which the IRS does not rule.
As of October 9, 2011 there were a total of approximately 1.5 million shares of IDT Class A common stock and approximately 21.1 million shares of IDT Class B common stock issued and outstanding. Shares of IDT Class B Common Stock will continue to trade on the New York Stock Exchange under the symbol “IDT”.
The CUSIP number for Genie Class A common stock is 372284 109. The CUSIP number for Genie Class B common stock is 372284 208.
Investors are encouraged to read Genie Energy’s Information Statement and other filings available through the SEC’s website at www.sec.gov and to consult with their financial advisors regarding the specific implications of buying or selling IDT common stock.
About Genie Energy Ltd.:
Genie Energy Ltd., (www.genie.com) is a division of IDT Corporation (NYSE: IDT). Genie Energy is comprised of IDT Energy and Genie Oil and Gas. IDT Energy is a retail energy provider supplying affordable electricity and natural gas to residential and small business customers in New York, Pennsylvania and New Jersey. It is the largest independent provider of residential customers in New York State. Genie Oil and Gas (GOGAS) is pioneering technologies to produce clean and affordable transportation fuels from the world's abundant unconventional fuel resources. GOGAS develops the Company’s unconventional energy initiatives, including its ongoing oil shale projects in Colorado and Israel.
About IDT Corporation:
IDT Corporation (www.idt.net) is a consumer focused company operating primarily in the telecommunications and energy industries. IDT Corporation’s Class B common stock trades on the New York Stock Exchange under the ticker symbol ‘IDT’. For more information, visit www.idt.net/about/ir.
In this press release, all statements that are not purely about historical facts, including, but not limited to, those in which we use the words “believe,” “anticipate,” “expect,” “plan,” “intend,” “estimate, “target” and similar expressions, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. While these forward-looking statements represent our current judgment of what may happen in the future, actual results may differ materially from the results expressed or implied by these statements due to numerous important factors, including, but not limited to, those described in our most recent report on SEC Form 10-K (under the headings “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations”), which may be revised or supplemented in subsequent reports on SEC Forms 10-Q and 8-K. We are under no obligation, and expressly disclaim any obligation, to update the forward-looking statements in this press release, whether as a result of new information, future events or otherwise.