| Press Release Source: Nationwide Capital
Nationwide Announces Today the Acquisition of YCO Through Its Wholly Owned Subsidiary Natal LLC For $1.7 Million Cash and $10.5 Million in Stock
Friday September 27, 2:20 pm ET
HOUSTON--(BUSINESS WIRE)--Sept. 27, 2002--Nationwide Capital Corporation (NCCN) announces today the acquisition of YCO through its wholly owned subsidiary Natal LLC for $1.7 million cash and $10.5 million in stock.
This purchase price reflects 2002 revenue of $10,135,913 with a gross margin of $2,743,963 (unaudited). YCO has experienced significant growth and market penetration at an average growth rate of 270% per annum with 2003 forecast revenue of $29,300,000 and gross of $9,100,000 giving earnings of $2,668,000 (or 29% of gross).
Greg Moffitt commented on YCO at the meeting today:
"A significant segment of NCCN's target market is real estate related professionals and businesses. Real estate related businesses are defined as any company or individual that provides products or services related to buying or refinancing residential or commercial real estate. Emerging consumer trends in the residential real estate industry indicate consumers' prefer to purchase these products and services in bundles rather than separately. YCO is already a bundled service provider to small to mid sized businesses. The natural fit comes in how NCCN will now target the tens of thousands of real estate related businesses, offering our SMART platform as well as enhanced back office outsourcing, efficient networking etc.
On the commercial side of NCCN's business, NCCN offers commercial financing to business owners or to businesses profiting from development or property management.
YCO will now evaluate the financial models of NCCN's commercial clients, when appropriate, as well as offer services designed to develop growth by increasing the commercial borrower's ability to repay the loan in a more efficient process.
Your Corner Office "YCO" is a national professional services company providing an unparalleled level of pro-services that are designed to empower its client to manage the risk of being an independent company, gain a competitive advantage and enhance relationships with customers, staff, business partners and suppliers.
The company accomplished this through a collaborative model that brings together three business resources: an extensive network of highly qualified professional services firms, a highly qualified internal consulting group and an interactive business-to-business Web portal in conjunction with one of the nation's largest computer companies.
Your Corner Office integrates independent consulting practices into a collaborative provider network so our subscribers can use a single resource to interact with many entrepreneur-oriented professionals. These Business Service Providers (BSPs) partner with our executive team to contribute services, specialized expertise and support to subscribers on specific one-time projects.
Jim C. Pyle is chief financial officer. Mr. Pyle is responsible for directing the organization's financial planning, mergers and acquisitions, consolidations, accounting practices, managing relationships with institutions, investors and the financial community. Mr. Pyle was a founder and manager of Your Corner Office, where he served as senior vice president, chief financial officer, treasurer and secretary.
Mr. Pyle is a current member of Young Entrepreneurs Organization (YEO), a global, educational organization for young entrepreneurs; he served as president of the YEO Dallas Chapter from 1996 to 1997. Mr. Pyle is a member of the Association for Corporate Growth. The Association for Corporate Growth is an international organization dedicated to fostering sound corporate growth. Mr. Pyle has a Bachelor of Science in Business Administration and Real Estate Finance.
IMPORTANT INFORMATION REGARDING THIS PRESS RELEASE
This document may include certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors. More detailed information about those factors is contained in NCCN's filings with the Securities and Exchange Commission.
This announcement is for information purposes ONLY and the recipient, reader should not invest in any SECURITIES of NATIONWIDE CAPITAL CORPORATION based upon the information contained herein IN PART OR IN WHOLE.
For further information with regard to this announcement please consult NCCN's Legal, Regulatory and Securities Counsel:
Elias, Matz, Tiernan & Herrick, L.L.P.
734 Fifteenth Street, N.W., 12th Floor
Washington, D.C. 20005
202/347-0300 (Telephone)
202/347-2172 (Facsimile)
--------------------------------------------------------------------------------
Contact:
Elias, Matz, Tiernan & Herrick, L.L.P.
Sheryl Jones-Alu, 202/347-0300
--------------------------------------------------------------------------------
Source: Nationwide Capital |
|
