Search Capital Approved for Listing on NASDAQ National Market

Business Wire, March 5, 1997

DALLAS--(BUSINESS WIRE)--March 5, 1997--Search Capital Group, Inc. today announced that its common stock and 9%/7% convertible preferred stock have been approved for listing on the NASDAQ National Market(R).

Trading the stocks of the NASDAQ National Market will begin at the opening of business on Monday, March 10, 1997. Search's common stock symbol will continue to be "SCGI," and its 9%/7% convertible preferred stock symbol will be listed as "SCGIP." Search has approximately 3.2 million shares of common stock and about 2.5 million shares of 9%/7% convertible preferred stock outstanding with a combined market capitalization of about $55 million. These shares are currently traded on the Over The Counter Bulletin Board.

"It has taken two years to achieve the necessary restructuring and recapitalization of Search in order to accomplish this relisting. We sincerely appreciate the tremendous support that our shareholders have shown during this time and are very pleased that Search's equities will once again be traded on the NASDAQ National Market. We believe that this listing will give Search the ability to attract a larger segment of the financial community and provide better liquidity for our shareholders," said George C. Evans, Search Chairman, President and CEO.

Evans also noted that having Search's equities traded on a national exchange will make its stock a more viable currency for use in future acquisitions. Since March of 1996, Search has achieved significant growth in its receivables portfolio by acquiring loans from other non-prime auto lenders. In addition, Search recently announced it had signed a definitive agreement to acquire MS Financial, Inc. in a stock swap valued at approximately $21 million. According to Evans, upon consummation of the acquisition, proforma estimates indicate that Search's gross receivables under management will increase from $74.7 million to approximately $250 million, and Search's net worth will increase to about $52 million from $33.6 million.

In March of 1995, Search's common stock was delisted from the NASDAQ National Market due to delinquent SEC filings and insufficient net tangible assets. Since the management changes that began in January 1995 when George Evans was hired as President and CEO, Search has remained current on its SEC filings and has been successful in completing a significant turnaround.

In March of 1996, Search completed a reorganization of eight subsidiaries that resulted in creditors exchanging their debt in the subsidiaries for common stock, 9%/7% convertible preferred stock and warrants in Search.

Search Capital Group, Inc. is a specialized financial services company engaged in the purchasing, financing, and servicing of non-prime automobile installment loans originated by franchised and independent automobile dealers. Search also engages in non-auto consumer finance operations.

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