A press release that was not picked up by SI.
PCC Group Inc. Plans Spin Off of E-Commerce Divisions to Shareholders
Source: Business Wire
POMONA, Calif., Aug 13, 1999 (BUSINESS WIRE via COMTEX) -- Jack Wen, chief executive officer of PCC Group Inc. (Nasdaq:PCCG), Friday announced the signing of a letter of intent to facilitate the proposed spin off of PCCG's two e-commerce business units to PCCG's shareholders.
The spin off is still subject to various conditions, including completing a reorganization of the business units and the completion of a financing transaction.
It is currently expected that the new company will be publicly traded on the U.S. Nasdaq market, and will initially be funded with $2 million, and that the PCCG shareholders will own approximately 75 percent of the new corporation.
The transaction will be handled by the Hong Kong/New York
investment-banking firm of Genesse Ltd. Wen commented: "I am very pleased to report this development to our shareholders. We have diligently built PCCG into a major wholesale distributor of computer components over the last 14 years, and more recently have entered into the burgeoning e-commerce market with what we believe are two good divisions, www.123adc.com and www.123cdc.com."
Wen added: "With this proposed spin off, PCCG is creating a pure e-commerce business, funding its capital needs and providing a more liquid trading marketplace for the company's stock. PCCG will remain in the computer wholesale industry building on its customer relations."
Matters discussed in this release involving forward-looking statements with regard to sales, revenues, financing and joint venture agreements as well as commencement dates involve certain risks and uncertainties. These include, but are not limited to, general market conditions in the industry, timing and markets of and for the by-product sales as well as other events, which may occur in an enterprise such as this. Historical results achieved are not necessarily indicative of future prospects of the company. More information on factors that could affect the company's financial performance are included in the company's reports
on Forms 10K and 10Q filed with the Securities and Exchange Commission and the Internet.
Copyright (C) 1999 Business Wire. All rights reserved.
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CONTACT: PCC Group Inc., Pomona
Don Johnson/Jack Wen, 909/869-6133 |
