This letter has been out for a week just noticed it .must be another today
sam
To Acquire Bingo Assets With Annual Net Earnings Of $1.2 Million
07/06/1999 11:10:00 / STRIKE MINERALS INC
STRIKE MINERALS INC ("STRK-Z;STRKF-L")
- To Acquire Bingo Assets With Annual Net Earnings Of $1.2 Million
Strike Minerals Inc. is pleased to announce it has signed a Letter of
Intent to acquire a 100% interest in three corporate entities (hereinafter
collectively the "Companies"). The aggregate consideration for these
Companies will be 14 million dollars plus 2.5 million common shares of
Strike. The acquisition is subject to due diligence, regulatory and
shareholder approval, and execution of a formal agreement. Closing is to
occur by November 15, 1999.
The Companies hold a number of bingo halls in Northern Ontario. These
assets have a value in excess of $3 million, and have produced net earnings
of $1.2 million in 1998. The Companies have no debt and own all properties
and equipment outright. In addition, this acquisition includes the benefits
of a continuing contract with current management.
Strike's president, Bill Hennessy, feels that there is substantial
potential for growth in the bingo industry, including expansion into other
geographical areas. Mr. Hennessy feels that this acquisition will
facilitate Strike's ability to broaden its operating base to include
further land-based and electronic gaining sites. Management expects growth
from existing business and future expansion initiatives to exceed 25% per
year.
Shareholders will be requested to approve a change in the nature of
business to include the business of bingo and gaming at an annual and
special Meeting to be announced shortly. Although Strike intends to expand
into bingo and gaming, it will continue in mining exploration including
base and precious metals and industrial minerals.
Strike has 8,016,659 common shares issued and outstanding. Strike's
common shares will be suspended pending re-application of the company to
the CDN reflecting its proposed change of business.
TEL: (613) 587-4409 Bill Hennessy, President of Strike
TEL: 1-877-847-7719 Jeff Wolburgh, Chase Equity Group
______________________________
(c) Corporate Dissemination Services Inc. All rights reserved.
Tel:(604) 689-1101 Fax:(604) 689-1106
RapidFAX (tm) - To get the NEWS as it happens, call (604) 689-3041.
|
