Modern Technology Corp to Acquire Mobile Sound
19 10월 2004 - 10:01PM
PR Newswire (US)
Modern Technology Corp to Acquire Mobile Sound Acquisition to add
another $800,000 in annualized revenue and add another $2M in
projected internal growth in year two OXFORD, Miss., Oct. 19
/PRNewswire-FirstCall/ -- Modern Technology Corp. (OTC:MOTG)
(BULLETIN BOARD: MOTG) , a business development and acquisition
company, announced today that it has entered into a Letter of
Intent to purchase the assets of Mobile Sound, Inc., headquartered
in North Bergen, New Jersey. Mobile Sound, a privately-held and a
specialty car audio and performance retailer will be acquired as
part of the previously announced plan for nationwide expansion
under the Sound City brand and model. Mobile Sound's 2003 revenues
were approximately $750,000 with projected revenues resulting from
the acquired assets over the next year to be in excess of
$1,000,000 and with projected second-year revenues to be in excess
of $2MM through internal growth and cost reductions resulting from
the Sound City platform. Sound City's retail store format, custom
installation model and nationwide acquisition strategy is expected
to generate in excess of $12MM for 2004 and exceed $20MM for 2005.
"Mobile Sound is an acquisition based on our nationwide expansion
plans and growth strategy for the Sound City model," said Anthony
K. Welch, chairman of Modern Technology Corp. "The addition of the
Mobile Sound assets to our portfolio moves us closer to our
year-end target of $20,000,000 in overall MOTG assets and
revenues." "The Mobile Sound acquisition is the first among many we
have planned for the Sound City model and nationwide expansion,"
said Kamel Yassin, Chairman/CEO of Sound City, Inc. and MOTG's
Director of Retail Acquisitions Under the terms of the agreement,
Modern Technology Corp. will acquire the assets of Mobile Sound for
a total purchase price $50,000 plus inventory paid in a combination
of cash and Preferred Stock using its Forward Capitalization model
of acquisitions. Upon closing of the acquisition, Mobile Sound's
existing management will continue to run operations in its current
locations. With the Mobile Sound and the recent Sound City
acquisition, Modern Technology Corp continues to successfully
execute its strategy of growth through strategic acquisitions,
market development and revenue expansion. The Modern Technology
acquisition strategy is based on its Forward Capitalization model
that seeks to consistently build market value while simultaneously
mitigating, or eliminating, negative dilution of common stock.
Modern Technology Corp recently added DeMarco Energy Systems (Pink
Sheets: DMES) to its portfolio of companies and announced a
joint-venture for a national merchant banking network with Raptor
Investments, Inc. (OTC:RAPT) (BULLETIN BOARD: RAPT) . MOTG expects
to announce additional acquisitions in the very near future. Modern
Technology Corp plans to release details on its growth and revenue
projections for 2005, expected to be in excess of $75,000,000, and
its plans for listing its Common Stock on a larger exchange in the
near future. About Mobile Sound, Inc. Founded in 1998, New
Jersey-based Mobile Sound, Inc. is a consumer electronics company
with over 15,000 customers. Mobile Sound markets audio solutions
for mobile environments. The company's expertise in the mobile
audio market provides a unique competitive advantage to consumers.
As a full service dealer, Mobile Sound provides a wide range of
custom mobile audio, video and performance installations addressing
numerous applications. About Modern Technology Corp Founded in
1982, Oxford, Mississippi-based Modern Technology Corp (MOTG) is a
business development and acquisition company, focused on growth by
strategic acquisitions and subsequent market and revenue expansion.
MOTG provides business infrastructure, substantial intellectual
capital, strategic investments, and ongoing support and revenue
growth assistance to each individual company within its portfolio.
In addition, MOTG provides mentoring and assistance through
collective operations experience, significant industry contacts,
and strategic and tactical advice. The company's mission is to
consistently build shareholder equity through accretive
acquisitions, to continue providing both stock and cash dividends
to its shareholders, and to create and promote synergistic
relationships among portfolio companies and affiliates. For more
information, visit the company's web site at:
http://www.moderntechnologycorp.com/ . Safe-Harbor Statement This
press release contains statements (such as projections regarding
future performance) that are forward-looking statements as defined
in the Private Securities Litigation Reform Act of 1995. Actual
results may differ materially from those projected as a result of
certain risks and uncertainties, including but not limited to those
detailed from time to time in the Company's filings with the
Securities and Exchange Commission. Company Contacts: Modern
Technology Corp: Anthony Welch, Chairman, 1-662-236-5928, Sound
City, Inc.: Kamel Yassin, Chairman/CEO, (800) 888-5343 x300, Media
Contact: Susan Cable, Vice President of Marketing, (623) 465-5929,
DATASOURCE: Modern Technology Corp CONTACT: Anthony Welch,
Chairman, +1-662-236-5928, or , or Media, Susan Cable, Vice
President of Marketing, +1-623-465-5929, or , both of Modern
Technology Corp; or Kamel Yassin, Chairman and CEO of Sound City,
Inc., +1-800-888-5343, ext. 300, or Web site:
http://www.moderntechnologycorp.com/
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