~ My Closing Thought For The Day! - "Don't focus on the last trade of the day ! " ~
Focus on the obvious "Break-out in Progress for RETC" & Our most recent Acquisition of "EFG", scheduled to close next week! - ( A revenue producing Acquisition ! )
12 ReTech to Acquire Red Wire Group, LLC to Increase the Manufacturing Capability and Revenue of its Emotion Fashion Group Subsidiary
Press Release | 01/14/2019
Las Vegas, NV & Hong Kong, Jan. 14, 2019 (GLOBE NEWSWIRE) -- 12 ReTech Corporation (OTCQB: RETC) announced today that it has signed a definitive Exchange of Equity Agreement to acquire Salt Lake City, Utah based Red Wire Group, LLC (“Red Wire”) in a stock for stock transaction. Closing is scheduled to occur before the end of this month.
Red Wire Group, LLC (“Red Wire”) is a profitable and efficient contract “Cut and Sew” manufacturer generating significant revenue and is located less than 100 yards from the Company’s Emotion Fashion Group (“EFG”) facility. Red Wire Group has maxed out its own existing facilities capacity and can benefit from the excess capacity that EFG currently possesses.
Angelo Ponzetta, 12 ReTech’s CEO stated, “We believe that Red Wire is very synergistic to our current EFG operation. In addition to the revenue and profits that Red Wire brings to the group we add efficiency and expertise to continue to drive down our production costs that began with our relocation of EFG from Los Angeles to Salt Lake City. This extra capacity and efficiency will allow Red Wire to take on many more jobs that should catapult its revenue from its current $650,000 to three to four times that annually, while increasing our margins.”
Hub Blanchett, President of EFG stated, “Being acquired by 12 ReTech was just the catalyst for future acquisitions. I am thrilled to team up with Red Wire. Their production team is outstanding and will allow our team to focus on revenue growth and delivery fulfillment.”.
Angelo Ponzetta, 12 ReTech’s CEO continued, “We have been working on this acquisition throughout the holiday season and while we executed non-binding Letters of Intent we decided to wait until the signing of the Exchange Agreement to announce this news as our past experience with acquisitions has taught us that Murphy’s law typically applies at the signed Letter of Intent stage”.
Greg Haehl, Managing Member of Red Wire commented, “I am excited to become part of 12 ReTech team. Being a technology expert myself, I have seen what they are doing to help retailers improve themselves. The technology that is available at 12 ReTech is very exciting and I plan to lend my own expertise to their efforts. At the same time, Red Wire’s capabilities will help EFG’s own manufacturing floor operations and their extra capacity will allow us to substantially grow our own business.” He continued, “I have seen first-hand the commitment and assistance the whole 12 ReTech Team brings to every acquisition and this strongly influenced our decision to be acquired.”
With several Acquisitions on the table - this is just the beginning! - GLTA
~~~ Loading & Holding ~~~
