Pneutech Inc. to Become Wholly Owned Subsidiary of Thomas Equipment, Inc.
Milwaukee, WI (PRWEB) December 23, 2004 -- Frank P. Crivello, Managing
Member, Crivello Group, LLC, announced that Thomas Equipment, Inc., www.thomasequipment.net
("Thomas") (OTC BB: TEQI) reached and executed a definitive agreement with
Pneutech Inc. ("Pneutech") to acquire one hundred percent of its outstanding
stock in a stock for stock tax free acquisition. Execution of a definitive
agreement was approved by Thomas' Board of Directors; shareholders representing
one hundred percent of Pneutech have approved the transaction.
Thomas, www.thomasloaders.com, is a leading global manufacturer of a full line of skid steer and mini skid steer loaders as well as attachments, mobile screening plants and six models of mini excavators. Thomas distributes its products through a worldwide network of distributors and wholesalers. In addition to its industrial and construction products it manufactures a complete line of potato harvesting and handling equipment.
Pneutech, www.pneutech.ca, is a manufacturer of hydraulic systems and is a strategic supplier to Thomas. In the fiscal year ending October 31, 2004, Pneutech had revenue of approximately C$65,000,000. In addition, the current directors of Thomas will assume similar positions with Pneutech. The definitive agreement is subject to usual and customary commercial conditions including the approval of TEQI's lenders.
"The Pneutech acquisition is a key element in my overall strategy of building synergistic businesses with revolutionary technology," said Clifford Rhee, President and Director of Thomas. "We are now poised for continued expansion, both through acquisitions and via organic growth. Our mission is to make Thomas a leading international manufacturer in all of its product lines." Mr. Rhee and Mr. Kent own approximately 78 percent of the common shares of Pneutech.
TEQI Chairman David M. Marks stated: "This acquisition is integral to our overall acquisition strategy in this space. Cliff and I are confident that we will create tremendous shareholder value, as we continue to build the Thomas business." Thomas' counsel, Sichenzia Ross Friedman Ference LLP, http://www.srff.com/, represented it in the transaction.
CG Managing Member Frank Crivello stated: "We were pleased to assist TEQI in negotiating this acquisition. We continue to provide TEQI with strategic consulting services; as well, our principals are equity investors in TEQI."
About Crivello Group, LLC www.crivello.com: CG is a strategic advisors and partners to distressed and emerging companies. CGs solutions for distressed or emerging companies include:
Capital & Debt Alternatives
Staff, Boards, and Professionals
Divestiture & Dissolution
Plan of Restructuring or Reorganization
Safe Harbor Statement Under the Private Securities Litigation Act of 1995 - With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. The actual future results of CG could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to assumptions relating to the marine market and that there will be no unanticipated material adverse change in CG's operations or business.
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Source : http://www.prweb.com/releases/2004/12/prweb191518.htm