Money4Gold Holdings, Inc. (OTCBB: MFGD) today announced that it entered into a letter of intent to acquire a leading competitor, MGE Enterprises Corporation d/b/a My Gold Envelope, through a share exchange with the privately-held Wyoming corporation’s shareholders. Money4Gold, which has approximately 78,000,000 shares of common stock outstanding and 14,100,000 shares of convertible preferred stock, will issue approximately 74,000,000 shares to My Gold Envelope shareholders.
Upon closing, Mr. Hakan Koyuncu, currently Money4Gold’s Chief Executive Officer, will be appointed President of Money4Gold. Mr. Daniel Brauser, President, Chief Operating Officer and Chief Financial Officer, will resign as President and Chief Operating Officer. Mr. Doug Feirstein of My Gold Envelope will be appointed Chief Executive Officer and Mr. Todd Oretsky will be appointed Chief Operating Officer. Money4Gold’s Board of Directors will be expanded to accommodate My Gold Envelope designees. Messrs. Oretsky and Feirstein will enter into three-year employment agreements containing terms similar to those in the employment agreements of Messrs. Koyuncu and Brauser. The parties are currently in the final stages of negotiating a Share Exchange Agreement and expect the transaction to close in early May.
According to Mr. Daniel Brauser, “We are excited to be moving ahead with Todd Oretsky and Doug Feirstein and their team. With our strength in reaching out to consumers looking to sell their gold and other precious metals on the Internet and My Gold Envelope’s strength doing the same thing through multi-language television advertising along with a retail store presence, we view this a win/win for both parties that will enable the combined entity to expand rapidly with an increase in revenues, decrease in costs and ultimate profitability.” Todd Oretsky of My Gold Envelope added, “In its first year of operations, Money4Gold has grown significantly and has demonstrated online marketing expertise. With its proprietary platform, coupled with its international exposure and direct relationship with one of the nation’s largest precious metals refineries, we are excited to be joining Money4Gold.”
About Money4Gold Holdings, Inc.
The Company’s mission is to increase shareholder value by producing gold, platinum and silver in increasing quantity, and without the risks of mining, large capital costs or the attendant environmental and political hazards. Management believes Money4Gold can offer the upside potential of the thriving international precious metals markets by the broad-scale acquisition, recycling and production of gold, platinum and silver, while concurrently providing a new level of service and payout to individuals and groups wanting to sell their precious metals. Through Money4Gold’s consumer websites, including; Sell Gold Cash for Gold, www.Dollars4Gold.ca and Sell Gold Cash for Gold Sell scrap gold selling gold jewellery, the company strives to provide the most convenient, efficient and secure method for individuals to recycle items containing precious metals. For more corporate information, please visit www.Money4Gold.com.
About My Gold Envelope
My Gold Envelope (mygoldenvelope.com and sobredeoro.com) is a leading national buyer of gold through multi language television advertising and online marketing in the continental United States and Puerto Rico. My Gold Envelope strives to provide its customers with the largest cash payment for broken or scrap jewelry in a secure, innovative and convenient way. Management has extensive experience in creating and growing businesses that provide shareholder value in a broad array of industries, including national retail distribution and sales, direct response, internet marketing and finance.
Safe Harbor
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the “Act”) including increase in revenues, decrease in costs and ultimate profitability. Additionally, words such as “seek,” “intend,” “believe,” “plan,” “estimate,” “expect,” “anticipate” and other similar expressions are forward-looking statements within the meaning of the Act. Some or all of the events or results anticipated by these forward- looking statements may not occur. Factors that could cause or contribute to such differences include the impact of competition, the future prices of gold and other precious metals, future economic conditions and the condition of the global credit and capital markets. Further information on Money4Gold’s risk factors is contained in its filings with the Securities and Exchange Commission, including the Form 10-K filed on April 15, 2009. Money4Gold does not undertake any duty nor does it intend to update the results of these forward-looking statements.
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