Educational Development Corp Enters Material Definitive Agreement
Ticker: EDUC · Form: 8-K · Filed: Jun 12, 2024 · CIK: 31667
Sentiment: neutral
Topics: material-definitive-agreement
TL;DR
EDC signed a big deal on 6/6, details TBD.
AI Summary
Educational Development Corporation (EDC) announced on June 12, 2024, that it entered into a Material Definitive Agreement on June 6, 2024. The filing does not provide specific details about the agreement or any associated dollar amounts. The company is incorporated in Delaware and its principal executive offices are located in Tulsa, Oklahoma.
Why It Matters
This filing indicates a significant business development for Educational Development Corporation, though the specifics of the agreement are not yet disclosed, leaving investors to await further details.
Risk Assessment
Risk Level: medium — The lack of specific details regarding the material definitive agreement introduces uncertainty and potential risk for investors.
Key Players & Entities
- EDUCATIONAL DEVELOPMENT CORP (company) — Registrant
- June 12, 2024 (date) — Filing Date
- June 6, 2024 (date) — Date of Earliest Event Reported
- Delaware (jurisdiction) — State of Incorporation
- Tulsa, Oklahoma (location) — Principal Executive Offices
FAQ
What is the nature of the Material Definitive Agreement entered into by Educational Development Corporation?
The filing does not specify the nature of the Material Definitive Agreement, only that one was entered into on June 6, 2024.
When was the Material Definitive Agreement entered into?
The Material Definitive Agreement was entered into on June 6, 2024.
What is the filing date of this 8-K report?
This 8-K report was filed on June 12, 2024.
Where are Educational Development Corporation's principal executive offices located?
Educational Development Corporation's principal executive offices are located at 5402 S 122nd East Avenue, Tulsa, Oklahoma 74146.
What is the state of incorporation for Educational Development Corporation?
Educational Development Corporation is incorporated in Delaware.
Filing Stats: 682 words · 3 min read · ~2 pages · Grade level 11.7 · Accepted 2024-06-12 08:01:43
Key Financial Figures
- $35,500,000 — mplex per the executed Contract totaled $35,500,000. The proceeds from the sale will be uti
- $8.72 — ears and the initial lease rate will be $8.72 per square foot, with 2% annual escalat
Filing Documents
- edc20240611_8k.htm (8-K) — 24KB
- ex_686869.htm (EX-99.1) — 8KB
- 0001185185-24-000630.txt ( ) — 170KB
- educ-20240606.xsd (EX-101.SCH) — 3KB
- educ-20240606_def.xml (EX-101.DEF) — 10KB
- educ-20240606_lab.xml (EX-101.LAB) — 19KB
- educ-20240606_pre.xml (EX-101.PRE) — 11KB
- edc20240611_8k_htm.xml (XML) — 3KB
01 ENTRY INTO A MATERIAL AGREEMENT
ITEM 1.01 ENTRY INTO A MATERIAL AGREEMENT On June 6, 2024, Educational Development Corporation ("EDC", the "Company" or "Seller") executed a Commercial Real Estate Sale Contract ("Contract") with Rockford Holdings, LLC ("Buyer") for the Company's headquarters and distribution warehouse located at 5400-5402 South 122 nd East Avenue, Tulsa, Oklahoma 74146 (the "Hilti Complex"). The agreed upon sale price of the Hilti Complex per the executed Contract totaled $35,500,000. The proceeds from the sale will be utilized to pay off the Term Loans and Revolving Loan outstanding in the Credit Agreement with the Company's Bank. At closing, EDC will assign the existing third-party tenant lease to the Buyer and will execute a separate Triple-Net Lease (the "Lease") for its occupied space in the Hilti Complex. The Contract does not include the excess land parcel, consisting of approximately 16.75 acres of undeveloped land adjacent to the Hilti Complex, which will remain under the ownership of EDC. The terms of the lease will be 10 years and the initial lease rate will be $8.72 per square foot, with 2% annual escalations beginning in year six of the lease. The Lease will also include triple-net terms, where the Seller will be responsible for utilities, insurance, property taxes, and regular maintenance, excluding roof and structural maintenance, which will be the Buyer's responsibility. Additionally, the Seller will retain the rights to sublease any available unused space in the building during the lease term. The Lease will also encompass other standard terms that are customary in the local market. The foregoing descriptions are a summary of the material terms of the Contract and are not complete. These descriptions are qualified in all respects subject to the actual provisions of the sale Contract and Lease with the Buyer.
01 FINANCIAL STATEMENTS AND EXHIBITS
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS (d) EXHIBITS Exhibit Number Description 99.1 Press Release dated June 12, 2024 104 Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) SIGNATURE Pursuant to the requirements of the Exchange Act, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Educational Development Corporation By: /s/ Craig M. White Craig M. White President and Chief Executive Officer Date: June 12, 2024