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CSSI Costas, Inc. Makes Offer to Purchase Standard Dental Labs Inc. Accesswire   "Press Releases"
ORLANDO, FL / ACCESSWIRE / March 2, 2022 / Costas, Inc. (OTCMKTS:CSSI) Costas, Inc. (CSSI or "the Company") About COSTAS (CSSI): http://www.otcmarkets.com/stock/CSSI/profile.
COSTAS, INC. is a publicly traded company listed on OTCMarkets under the trading symbol ‘CSSI'. The Company has identified an acquisition target with a long-term business strategy in the dental lab industry, and has made an offer to its shareholders to acquire the company in its entirety.
Costas, Inc. has made an offer to the shareholders of Standard Dental Labs Inc. (SDL), a company incorporated in Wyoming in 2019, to purchase all of its shares. SDL's business plan, which includes a strong executive team, is to purchase existing dental labs in the private sector, and to consolidate those labs regionally into one larger facility. "Industry consolidation creates economies of scale, and in this industry that can mean the difference to survival." said James Brooks , Costas' new Chief Executive Officer.
In a May 2020 article, Barlow Research Associates stated that the average small business owner in America is over 60 years old, and of those, more than 40% are above age 65. Barlow Research states that small business owners are less likely to drain retirement savings to rescue their businesses, making retirement difficult or impossible. This risk increases in uncertain economic times. Consolidation of these labs would enable the Company to purchase more advanced equipment, making the constituents more competitive in a regional market.
According to recent data from Emergent Research : Among older owners polled, 40% now say they are seriously considering closing their businesses. They report not having the energy or resources to pour into rebuilding the business after this recession, mainly because of their age.
Acquiring cash flowing, and profitable businesses with a financial track record, is CSSI's new business strategy. The dental lab industry as a whole is estimated to be a $10B market in the US alone in 2022 (source: Grandview Research , Aug. 2021 ), but is growing steadily due to increasing demand from the retirement community.
About Costas: https://costas-inc.com/about-us