Avalanche Int'l Agrees to Buy JS Technologies, Maker of Suhr Guitar
$11M Deal Struck for World Renowned Guitar and Musical Equipment Manufacturer
LAS VEGAS, NV -- (Marketwired) -- 06/17/15 -- Avalanche International, Corp (OTC PINK: AVLP), announced today that it has agreed to purchase JS Technologies, Inc., maker of the world renowned Suhr and other branded musical instruments and electronics for $11 million in stock and cash. The 18-year old U.S. manufacturer of high-end musical instruments and electronics (http://www.suhr.com), based in Lake Elsinore, California, has annual revenues of over $10 million with great growth opportunities domestically and worldwide, driven by over 175 dealers in 49 countries and phenomenal brand loyalty and consumer popularity. Suhr is famed for its product craftsmanship, exotic fine woods and unique designs that provide each customer a very personalized experience. Numerous top artists have used and supported the Suhr brand for over a decade. Upon close of this transaction, JS Technologies, Inc. will operate as a wholly owned subsidiary of the Company with its own independent management team responsible to its new parent.
John Suhr and Steve Smith, co-founders of JS Technologies, Inc., stated, "We are proud to become a part of the Avalanche International family and look forward to this new chapter in the company's growth. As we pursue our vision, we are committed to provide great instruments and honored to provide such remarkable guitars, musical equipment and components to a very loyal and expanding customer base worldwide. We are proud to be apart of Avalanche International and apart of this incredible legacy."
Avalanche International, Corp., the holding company that specializes in consumer products, signed a Letter of Intent (LOI) on June 12, 2015 to purchase all the shares of JS Technologies, Inc. and anticipates the transaction to close over the next several weeks as it finalizes the financing of the acquisition. In connection with the deal, the Company intends to provide new working capital for increased manufacturing capacity and for potential strategic acquisitions that will provide new products, customers and/or distribution globally. The Company will work with its founders and current management through this transitional period as the manufacturer continues business as usual. The Company and JS Technologies is dedicated to maintaining the famous Suhr design, innovation and product quality while expanding consumer choices and service in the future.
Phil Mansour, President and CEO of AVLP, said, "We are very pleased and excited for our shareholders and the Company's future to be acquiring such a high quality product line, management team and state of the art U.S. manufacturing facility. We look forward to providing the necessary resources to help JS Technologies on its mission to expand and grow the company and its products."
The ability to close the acquisition of J.S. Technologies as contemplated by the LOI will be dependent upon the Company obtaining additional financing through debt and/or equity financing arrangements. Although management of the Company is working to secure the additional capital required to close the transaction, there is a risk that such additional financing will not be available to the Company on acceptable terms or in the amounts required to close the planned acquisition. Various covenants, conditions, representations and warranties between the parties are included in the LOI. The Company recommends any interested investor read the accompanying 8K report published on Tuesday, June 16 after the close of the financial markets for further details. This 8K as are all public filings are available on the Company's web site as well as on www.sec.gov, www.OTCMarkets.com and many other financial news reporting web sites and portals. The Company's web domain is www.AvalancheInternationalCorp.com.
About Avalanche International Corp.
Avalanche International, Corp is a Nevada corporation and holding company, publicly traded on the OTC Markets platform. The Company is focused on creating superior long-term returns for shareholders through a unique structure of diversified holdings and currently has one wholly owned subsidiary, Smith and Ramsay Brands, LLC, a manufacturer and distributor. The Company has selected a mergers and acquisitions strategy as its primary growth driver for the foreseeable future leveraging the Wall Street and activist background of its Chairman along with the vast corporate integration and management talents of its President and CEO.
About JS Technologies, Inc.
JS Technologies, Inc. is a California corporation with its state of the art manufacturing facility in Lake Elsinore, CA. The Company was co-founded in 1997 by John Suhr and Steve Smith to produce the award winning custom Suhr guitars, and amplifiers with other branded instruments and electronics. Suhr is manufactured with the highest quality products and craftsmanship customized to the taste of each and every customer. The company branded products are distributed worldwide through over 175 dealers in over 49 countries. Dedication in product and service has earned worldwide brand loyalty and consumer satisfaction and demand.
Forward-looking & Safe Harbor Statement
Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and those statements are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The Company cautions that these forward-looking statements are further qualified by other factors. The Company undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events or otherwise.
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Source: Avalanche International Corp
Released June 17, 2015