DALLAS, Feb. 6, 2015 /PRNewswire/ -- CVSL Inc.
[NYSE MKT: CVSL] announced today that it has signed an
agreement to acquire Kleeneze, a United Kingdom-based direct-to-consumer
company. The consummation of the acquisition is subject to
certain conditions, including approval by the New York Stock
Exchange MKT.
Kleeneze is one of the U.K.'s
longest-operating, largest and best-known direct-to-consumer
businesses. Founded in 1923, the company has grown into a
community of more than 7,000 independent distributorships, offering
a wide variety of several thousand cleaning, health, beauty, home,
outdoor and other products to customers across the U.K. and
Ireland. Kleeneze is a founding member of the U.K. Direct
Selling Association.
Under the terms of the agreement, CVSL will purchase 100% of the
shares of Kleeneze from Findel PLC. Both the CVSL and Findel
boards have approved the terms. It is anticipated that
closing will take place by the end of the First Quarter.
"Kleeneze has an extensive product line, a nearly century-long
heritage, a well-known brand and a robust presence throughout the
U.K. We believe Kleeneze will be an outstanding addition to
our CVSL family of companies," said John
Rochon Jr., CVSL's vice chairman and head of its investment
committee. "Kleeneze gives CVSL a very significant presence
in the U.K. and represents an
important step forward in CVSL's international expansion."
"Becoming part of the CVSL family of companies will open an
important and exciting new chapter in the long, distinguished
history of Kleeneze," said Lisa
Burke, Managing Director of Kleeneze. "This will
allow us to be part of a global, public company, while at the same
time maintaining our own unique identity. We view this as the
best of all worlds," she added.
Commenting on the transaction, Roger
Siddle, CEO of Findel, said: "CVSL represents a
natural home for Kleeneze. We believe that this transaction is in
the best interests of both Findel and Kleeneze, allowing Kleeneze
to benefit from the extensive expertise and support of CVSL whilst
allowing Findel to focus its resources on growing its core
businesses."
With the addition of Kleeneze, CVSL will include nine
companies. The combined trailing 12 month revenue of
CVSL and Kleeneze, based upon the most recently reported results,
as of September 30, 2014, was over
$180 million.
About CVSL
CVSL is a growing group of direct-to-consumer companies that
connect social media networks into an ever-expanding virtual
"community" of social commerce. Within CVSL, each company retains
its own separate brand identity, sales force and compensation
plan. CVSL companies currently include The Longaberger
Company, a 42-year old maker of hand-crafted baskets and other
home decor items; Your Inspiration At Home, an award-winning
maker of hand-crafted spices and other gourmet food items from
around the world; Project Home, a direct seller of tools
designed for women as well as home security systems; Agel
Enterprises, a global seller of nutritional products in gel
form as well as a skin care line, operating in 40 countries;
Paperly, which offers a line of custom stationery and other
personalized products; My Secret Kitchen, a U.K.-based
seller of gourmet food products; and Uppercase Living, which
offers an extensive line of customizable vinyl expressions for
display on walls in the home.
Cautionary Note Regarding Forward-Looking Statements:
This press release contains forward-looking statements that
involve risks and uncertainties. All statements other than
statements of historical fact contained in this press release are
forward-looking statements. We have attempted to identify
forward-looking statements by terminology including "anticipate,"
"believe," "can," "continue," "could," "estimate," "expect,"
"intend," "may," "plan," "potential," "predict," "project,"
"should," or "will" or the negative of these terms or other
comparable terminology. Although we do not make
forward-looking statements unless we believe we have a reasonable
basis for doing so, we cannot guarantee their accuracy. These
statements are based upon current beliefs, expectations and
assumptions and include statements regarding the contribution of
Kleeneze to CVSL and the timing of the anticipated closing. These
statements are subject to a number of risks and , uncertainties,
including the risk that the conditions to closing of the Kleeneze
transaction are not satisfied as to which no assurance can be
given, our ability to consummate the transaction when anticipated,
our ability to successfully integrate Kleeneze into our company
and other risks outlined under "Risk Factors" in our Annual
Report on Form 10-K for our fiscal year ended December 31, 2013, our Quarterly Reports on Form
10-Q, including the Quarterly Report filed with the Securities and
Exchange Commission for the quarter ended September 30, 2014, and those risks discussed in
other documents we file with the Securities and Exchange
Commission, which may cause our actual results, levels of activity,
performance, or achievements expressed or implied by these
forward-looking statements to differ materially from
expectations. Except as required by law, we undertake no
obligation to update or revise publicly any of the forward-looking
statements after the date of this press release to conform our
statements to actual results or changed expectations.
CVSL Media Contact: Russell
Mack (rmack@cvsl.us.com)
CVSL Investor Relations: (scottp@cvsl.us.com)
Findel Media Contact: Stephen
Malthouse / Will Smith +44
(0) 207 353 4200 (findel@tulchangroup.com)
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SOURCE CVSL Inc.