HomeFed Swapping Stock for RE Portfolio

CARLSBAD, CA—HomeFed Corporation has agreed to acquire subsidiaries and investments of Leucadia National Corporation and cash in the aggregate amount of approximately $18.4 million. The deal includes the issuance by HomeFed of 7.5 million new unregistered shares of its common stock to Leucadia.

Upon the closing of the transaction, Leucadia will own approximately 65% of HomeFed’s outstanding shares of common stock; however, Leucadia has agreed to limit its voting rights such that it will not have a majority voting interest in HomeFed. As part of its review and analysis of the acquisition, an independent committee of the HomeFed board of directors received a fairness opinion from Duff & Phelps LLC, as its financial advisor.