Urban Ag Corp. Announces Execution Of Letter Of Intent To Acquire Green Wire
NORTH ANDOVER, Mass., Jan. 11, 2013
NORTH ANDOVER, Mass., Jan. 11, 2013 /PRNewswire/ -- Urban Ag Corp. /
(AQUM.PK)(the "Company"), announced today that the Company has executed a
letter of intent to acquire all of the outstanding shares of Green Wire
Enterprises, Inc. ("GWE"). This acquisition is the first by the Company using
the recently announced acquisition model. GWE operates primarily in the
Southwestern United States in the Telecom market but has contracts with major
telecommunication companies and general contractors in other locations within
the United States.
Projected Revenues used to calculate the purchase price for the three
operating subsidiaries of Green Wire Enterprises averaged over $6 million per
year for the measurement period with projected average Net Income of over
$550,000.00. The purchase price will be made up of Equity, Cash and Seller
Notes. The final documentation will also include a spin-out provision. GWE
will operate as a separate division of the Company.
Billy V. Ray, Jr. CEO of the Company stated," As our first potential
acquisition using the Model we have developed to implement our
acquisition/incubator strategy, GWE give us the opportunity to see our plans
come to fruition. This transaction will expand our services into the Telecom
market while allowing us to offer the abatement/remediation services to the
overall customer base. We look forward to coming to a quick close of this
transaction within the coming weeks. "
GWE's operating subsidiaries serve a wide customer base that includes Telecom
customers such as Verizon, Motorola, Alcatel-Lucent, Time Warner and General
Contractors serving customers such as Wal-Mart, CVS and Gulf Marine. The
subsidiaries also network and design services to a multiple of state and
county government agencies, colleges and school in the Texas market.
Contact: Billy V. Ray, Jr
Urban Ag Corp. Corporate Office
Email address Investor Relations Department
This news release contains forward-looking statements within the meaning of
Section 37A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. These forward-looking statements involve risks and
uncertainties. A number of factors could cause actual results to differ from
those indicated in the forward-looking statements, including the Company's
ability to continue to successfully market and provide its services, maintain
its effectiveness and its customer base and general economic conditions. The
Company undertakes no obligation to publicly update or revise forward-looking
statements whether as a result of new information, future events or otherwise.
SOURCE Urban Ag Corp.
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