IPO Company Profile
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Newmark Homes Corp.
1200 Soldiers Field Drive, Sugar Land, TX 76459 * (281) 243-0100

The company designs, builds and sells single-family homes in five major markets within the Southwest and Southeast, including Houston, Austin, Dallas/Fort Worth, Miami/Ft. Lauderdale and Nashville areas.

Primary Underwriting Group
ManagerTierPhone
Dain Rauscher IncorporatedLead Manager (612) 371-2818
Laidlaw Equities, Inc.Co-manager (212) 376-8852

Offering Information
NASNTL:NHCH Construction: SIC 1521
Type of Shares:Common Shares Filing Date:12/15/97
U.S. Shares:2,000,000 Offer Date:3/12/98
Non-U.S. Shares:0 Filing Range:$9.00 - $11.00
Primary Shares:2,000,000 Offer Price:$10.50
Secondary Shares:0 Gross Spread:$0.00
Offering Amount: $20,000,000 Selling:$0.00
Expenses:$1,000,000 Reallowance:$0.00
Post-IPO Shares:11,200,000
Spin out parent firm: Pacific Electric Wire & Cable
Employees:260

Legal Counsel, Auditor and Registrar
Issuer's Law Firm: Wolin, Ridley & Miller LLP
Bank's Law Firm: Andrews & Kurth
Auditor: KPMG Peat Marwick

Selected Financial Data

Dollar amounts in U.S. millions except for per share data
9 Month Ending Financials
Full Year
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/96 9/30/97 9/30/96 9/30/97
Revenue:$192.00$163,548.00$139.73Assets:$132.76
Net Income:$6.33$5.42$4.71Curr Assets:
EPS:$0.69$0.59$0.51Liabilities:$86.17
Prior EPS:$0.41-$3.61-$5.68Curr Liab:
Cash Flow/Oper:-$7.78$3.00$2.68Equity:$46.58
Cash Flow/Fin:$5.12$0.70$3.04Cash:$0.73
Cash Flow/Inv:$3.05$0.70

Competition
The development and sale of residential properties is highly competitive and fragmented. The Company competes for residential sales on the basis of a number of interrelated factors, including location, reputation, amenities, design, quality and price, with numerous large and small homebuilders, including some homebuilders with nationwide operations and greater financial resources and/or lower costs than the Company. The Company also competes for residential sales with individual resales of existing homes, available rental housing and, to a lesser extent, resales of condominiums. The Company believes that it compares favorably to other builders in the markets in which it operates, due primarily to: (i) its experience within its geographic markets, which allows it to vary its product offerings to reflect changing market conditions; (ii) its responsiveness to market conditions, enabling it to capitalize on the opportunities for advantageous land acquisitions in desirable locations; and (iii) its reputation for service and quality. There can be no assurance that the Company will be able to continue to compete successfully in any of its markets. The inability of the Company to continue to compete successfully in any of its markets could have a material adverse effect on the Company's business, financial condition or results of operations.

Business Plan
The Company's objective is to provide its customers with homes that offer both quality and value, while seeking to maximize its return on invested capital. To achieve this objective, the Company has developed a strategy which focuses on the following elements: (I) Growth Markets, (ii) Sophisticated Marketing, (iii) Focus on Relocation Market, (iv) Management Training, (v) Decentralized Operations with Experienced Management, (vi) Centralized Purchasing, (vii) Cost Management and (viii) Limited Real Estate Exposure.

Use of Proceeds
The proceeds from the proposed offering will be used to repay a portion of the indebtedness to be assumed in connection with the acquisition of Westbrooke and to provide capital to fund the company's future growth, including new market expansion and residential land acquisitions.

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