Veltex signs LOI to buy North American major retail supply company
11 Apr '06
2 min read
Apparel merchandiser Veltex Corporation has signed a Letter of Intent (LOI) to purchase a major profitable North American (US and Canadian) retail store supply company in a stock and cash deal.
Javeed Matin, Veltex CEO, stated, "This acquisition moves us one giant step closer toward achieving our goal of becoming a premier presence in the North American textile business, and will substantially increase the size of our corporation and raise our revenue base by multi-millions of dollars annually. The company to be acquired has been in the retail supply business for more than 10 years, has annual revenue in excess of $10m and employs more than 25 people in US and Canada. This deal is expecting to be closed by April 15th 2006.”
Javeed Matin, CEO of Veltex, was greatly encouraged by the signing of the Letter of Intent: "This acquisition is a perfect fit for our expanding North American business plan and will dramatically increase our client base as well as our profit margins.”
Matin added, "We are always looking for good acquisition candidates to enhance our ability compete successfully in the marketplace and expand our business. We believe this opportunity will create added value for our shareholders for years to come."
Veltex Corporation is a vertical manufacturing import and distribution company composed of four divisions: Veltex Apparel, Veltex Explorer Inc, Velvet Textile Mills, and KCA Garment Industries.
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