Sack Lunch Productions Completes $4.17M Acquisition of Remaining Stake in Slide the City and The Lantern Fest Entities
SALT LAKE CITY, UT--(Marketwired - Dec 28, 2015) - Sack Lunch Productions, Inc. (
The buyout of the remaining minority interest in Slide the City, LLC, Slide the City Franchising, LLC, Slide the City Canada, LLC and The Lantern Fest, LLC is expected to positively impact Sack Lunch Productions' net income and shareholder equity for our year-end audit as well as future quarters. Based on forecasted 2016 sales that are expected to exceed $18M, the Company expects to earn at least $1 million in additional net income by eliminating the net income and shareholder equity previously attributable to minority interests. The Company further anticipates that shareholder equity may improve by as much as $4.17 million. The ultimate value the transaction may be booked for will be contingent upon an outside evaluation of the transaction and subject to SAKL's auditor's review.
"Our focus remains on further innovating, growing and building upon our current brands. Acquiring 100% control of Slide the City and The Lantern Fest entities will ensure that all major partners and managers interests are aligned in our collective efforts to create as much value as possible for shareholders of Sack Lunch Productions," stated Richard Surber CEO of SAKL.
Mr. Surber continued, "Closing this acquisition is another big step towards meeting the requirements necessary to up list to a NASDAQ Small Cap listing. The acquisition of these entities for equity demonstrates management's long term commitment to growing SAKL's organization."
The acquisitions were completed for a total purchase price of 417,000 restricted Series A Preferred shares, valued at approximately $4.17 million. As part of the terms of the acquisition and current Securities laws, no affiliate can sell any shares into the open market unless the Company registers the shares pursuant to a registration statement or 12 months after SAKL files a Form 10. Lock Up Agreements that restrict the resale of SAKL securities were included as part of the transaction preventing the resale of any shares.
About Sack Lunch Productions, Inc.:
Sack Lunch Productions, Inc. (
SAKL strongly encourages the public to read the above information in conjunction with its reports filed at www.otcmarkets.com. SAKL will require a significant influx of capital in order to effectively execute upon its various operational plans. The actual results that SAKL may achieve could differ materially from any forward-looking statements due to such risks and uncertainties. The $4.17M value of the acquisition is subject to adjustments pending an outside evaluation and audit which could material impact the ultimate value SAKL may book the transaction for. Investors should not invest more than they can afford to lose.
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