PLANO, Texas -- Pizza Inn CEO Jeff Rogers may exercise up to 822,500 shares of his personal stock options, or almost 23 percent of his holdings, as the Plano, Texas-based chain seeks to execute a secondary offering for its shares.
The 450-store chain's stock dropped 16 percent in 2001, and began the first week of 2002 on the same down slope. However, as of Jan. 7, the stock's price was up nearly 11 percent ($1.56 a share), a gain likely triggered by word of Roger's potential sale.
Foodservice.com, reported that an SEC filing showed Pizza Inn's desire to sell an additional 600,000 shares of its stock. The move is allowing some its executives a chance to exercise their personal options.
According to Pizza Inn's proxy filed in October, Rogers had 760,000 exercisable options and 62,000 more that were frozen. When the transaction is completed, he will purchase his shares from the company and sell them to the public in hopes profiting on the difference. Rogers currently owns almost 4 million shares of Pizza Inn stock.
The filing said that Pizza Inn wants to use its proceeds from the sale for corporate purposes.
Just how the stock options became immediately available for purchase is not clear. Pizza Inn spokesperson, Jackie Black, was not available for comment at press time.