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Atlas Engineered Products completes acquisition of South Central Building Systems Ltd.
Atlas Engineered Products completes acquisition of South Central Building Systems Ltd. ...
About this update from Atlas Engineered Products Ltd.
[{"type":"text","content":"\n\n\n\nAtlas Engineered Products completes acquisition of South Central Building Systems Ltd.\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nNANAIMO, BC, March 5, 2019\n\n\n\nNANAIMO, BC, March 5, 2019 /CNW/ - ATLAS ENGINEERED PRODUCTS LTD. (\"AEP\" or the \"Company\") (TSX-V: AEP)(OTC Markets: APEUF) today reports that it has completed the acquisition of South Central Building Systems Ltd. (\"South Central\") of Carman, Manitoba. With this acquisition AEP has added an energetic, high performance team to the AEP family of companies. South Central is a best in class operation with efficient automation, capacity to increase output, and a loyal and growing customer base in the middle of over 25+ growing communities in Southern Manitoba, and easy access to the large Winnipeg market. South Central also offers potential entry into the northern parts of Minnesota and North Dakota.\nOn closing, AEP paid a $300,000 deposit against the $2,500,000 in cash and assumed a debt that it had agreed to pay on closing (the \"Cash Payment\"). AEP expects that the balance of the Cash Payment will be paid within the next 7-10 days. AEP will pay the former shareholders of South Central interest on the unpaid portion of the closing cash amounts at a rate of 10% per annum until that amount has been paid. On closing, AEP also issued a total of 1,000,000 common shares to the former shareholders of South Central. In addition, AEP will pay to the former shareholders of South Central an additional $500,000, payable in five equal monthly installments of $100,000 each, beginning three months after closing. The former shareholders of South Central may elect to receive these installment payments in AEP common shares at a price of $0.40 per share, provided that the election is made with respect to his or her full pro rata share of the remaining unpaid balance of those installment payments.\nAEP has secured bank financing for the balance of the Cash Payment, with flow of funds expected to occur within the next 7-10 days. If the balance of the Cash Payment is not pai...