UPDA Clarifies Transaction with Continental Fuels to Provide for the Immediate Transfer Control - Assumes 2 Seats on Continental Board of Directors
Monday March 19, 7:29 am ET
SAN ANTONIO--(BUSINESS WIRE)--In order to clarify the terms of its agreement with Continental Fuels, Inc. (OTCBB:CNDI - News; FWB:CIQB), the consideration received by Universal Property Development and Acquisition Corporation (OTCBB:UPDA - News; FWB:UP1)(BCN:UP1)(GER:UP1)(MUN:UP1)(STU:UP1) for the sale of the capital stock of its trading and storage subsidiaries will now consist of $2.5 million in cash and shares of convertible preferred stock of Continental valued at $5,000,000.00.
ANZEIGE
The shares of convertible preferred stock will allow UPDA to vote and receive dividends on an as converted basis upon issuance and will represent in excess of 70% of the voting rights of Continental's then outstanding common stock. Therefore, the closing of this proposed transaction will result in UPDA immediately receiving a controlling interest in Continental Fuels and assuming two seats on its board of directors.
"These amended terms do not change the intention of the transaction, they simply clarify the result," explained UPDA Vice President Chris McCauley. Consistent with its long standing business plan, UPDA has incubated these divisions over the course of nearly a year. Now, through this transaction, we are able to recover all of our investment and deliver these subsidiaries to a new public entity through which they will be able to exploit the myriad opportunities they have before them. All of this, and UPDA still retains control of the assets for the benefit of its shareholders. This transaction is exemplary of our strategy to build value for the shareholders of UPDA," concluded McCauley.
About UPDA
Universal Property Development and Acquisition Corporation (OTC BB: UPDA - News) focuses on the acquisition and development of proven oil and natural gas reserves and other energy opportunities through the creation of joint ventures with under-funded owners of mineral leases and cutting-edge technologies.
Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, or described pursuant to similar expressions.
Contact:
Universal Property Development and Acquisition
Corporation
Jack Baker (Investor Relations), 561-630-2977
info@updac.com
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Source: Universal Property Development and Acquisition Corporation
