GROUP MAY SUPPORT CARDIS CORP <CDS> BUYOUT
A group of companies controlled by
Brookehill Partners Inc told government authorities it may
support a buyout of Cardis Corp as a way to maximize the value
of the company's stock.
    In a filing with the Securities and Exchange Commission, 
the group disclosed that it currently holds a 5.5 pct stake in
Cardis common stock, and said it "would likely support" an
acquisition of the company as a whole or in parts by another
party, terming such a move "the most likely means for the
company's shareholders to maximize the value of their
investment."
    Although the group characterized its Cardis stock holdings
as principally for investment, it said it intends to contact
third parties who might be interested in an acquisition of
Cardis, a Los Angeles-based auto parts distributor.
    The group added its has already had "some contacts" with
others concerning the company, but said no understandings have
been reached.
    "The (Cardis) common shares continue to offer opportunity
for price appreciation on the basis of the company's asset
value and earnings momentum," the Brookehill group told the
SEC.
    The group, which currently holds 318,900 Cardis common
shares, consists of New York-based Brookehill Partners and its
two subsidiaries, Brookehill Equities Inc, a brokerage, and
Moore, Grossman and deRose Inc, an investment advisor. Walter
Grossmman, S. Edward Moore and Robert deRose, all of New York,
each own one-third interests in Brookehill Partners.
    Since April 27, members of the Brookehill group made net
purchases of 6,000 Cardis common shares at approximately 4 dlrs
a share. The group told the SEC it may continue to purchase
additional Cardis stock, but also reserved the right to sell
its shares in the company.

 Reuter
