Nova Executes Agreement to Close Merger with PowerSki International
Wednesday October 8, 5:05 am ET TORRANCE, Calif.--(BUSINESS WIRE)--Oct. 8, 2003--Nova Communications Ltd. (OTCBB:NCVM - News) announced that it has executed a binding Memorandum of Understanding to merge with PowerSki International, the designer and manufacturer of the patented PowerSki Jetboard.
Per the terms of the Memorandum of Understanding, Nova and PowerSki shall enter into an agreement and Plan of Merger pursuant to which PowerSki will be merged into Nova, with Nova being the surviving corporation. Upon completion of the merger, Nova will change its name to PowerSki International Corp. Prior to execution of the merger, Nova shall provide to PowerSki working capital funding up to an aggregate amount of $2,000,000, which will be used to grow the Company and move into high-volume manufacturing of the PowerSki Jetboard.
Nova Communications CEO Ken Owen stated, "After months of planning and aligning our companies' visions, we are now in a position to begin closing the merger with PowerSki International. Our team has done a great job of rebuilding underlying value for Nova shareholders, and we are excited about bringing the PowerSki merger to fruition."
"The combined entity will design, manufacture, and sell the world's most innovative watercraft -- the PowerSki Jetboard. The Jetboard is the most exciting product I have ever seen, and it presents a tremendous growth opportunity to Nova and its shareholders," Owen continued.
In conjunction with executing the Memorandum of Understanding, management of both companies have completed due diligence reviews and have determined final terms of the deal. Subsequent to approval by the PowerSki board of directors and shareholders, execution of acquisition agreements, and meeting all terms of the deal, the merger will be consummated.
To learn more about the world's most innovative watercraft and to view behind-the-scenes footage of the Jetboard in action for Fox Sports' "54321" sports program, please visit ncvm.net or powerski.com.
Cautionary Statement for the Purpose of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995:
Forward-looking statements in this news release are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Certain important factors could cause results to differ materially from those anticipated by the forward-looking statements, including the impact of changed economic or business conditions, the impact of competition, the success of existing and new product releases, the management of our growth, other risk factors inherent in the telecommunications industry, and other factors discussed from time to time in reports filed by the company with the Securities and Exchange Commission.
Contact:
Company Reporter, Inc.
Mike Long, 281/870-0225
mike@companyreporter.com
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