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Wednesday, Jun 7, 2023

Chatsworth Inks $26 million Buyback Deal for HQ

Nutritional company Natrol has closed on a sale-leaseback deal with TA Associates Realty for its corporate headquarters and shipping center in Chatsworth. The property sold for $26 million, or about $12 million after taxes and debt. Natrol agreed to lease back the space for five years, with two five-year renewal options. “During the last year, we have been a disciplined company, building profits quarter by quarter,” said Natrol President and CEO Wayne Bos in a statement. “We unlocked a hidden asset: our real estate. Twelve million dollars equates to approximately 30 percent of our current market capitalization. We believe that releasing the cash will help us drive capitalization up by utilizing what was a dormant resource to stimulate growth. We believe this will benefit our shareholders.” Natrol last week announced that it has largely recovered from losses over the past fiscal year. Fourth quarter sales totaled $16.4 million, up 10.3 percent from a year ago, and net earnings came in at $222,000, or $0.02 per diluted share, compared to a net $1.6 million loss in the year-ago period.

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