Staffing 360 Solutions, Inc. Settles Remaining Deferred Consideration from the Acquisition of firstPRO at 50% Discount to its...
March 05 2019 - 8:00AM
Staffing 360 Solutions, Inc. (NASDAQ: STAF), a company executing an
international buy-integrate-build strategy through the acquisition
of domestic and international staffing organizations in the United
States and United Kingdom, today announced that it had come to an
agreement with the seller of firstPRO, its professional staffing
operation in Atlanta, Georgia, to settle $2.158 million of
remaining deferred consideration for a total of $1.125 million in
full and final settlement. Funds for this transaction were
available from the proceeds raised in the Company’s recent equity
offering. Additionally, the license to use the firstPRO name, which
would have expired in September 2019, has been extended in
perpetuity. The transaction is expected to result in an income gain
of approximately $840,000 in the first quarter.
Brendan Flood, Chairman and CEO of Staffing 360
Solutions Inc., stated, “This settlement is a strong economic and
operational gain for us. The continued use of the firstPRO
trademark indefinitely is a boost to our team in Atlanta, Georgia,
and the settlement of the deferred consideration means a reduction
of $1.033 million in cash outflows over the next eighteen months
and a positive use of the proceeds from the equity offering.”
About Staffing 360 Solutions,
Inc.Staffing 360 Solutions, Inc. is engaged in the
execution of an international buy-integrate-build strategy through
the acquisition of domestic and international staffing
organizations in the United States and United Kingdom. The
Company believes that the staffing industry offers opportunities
for accretive acquisitions that will drive its annual profitable
revenues to $500 million. As part of its targeted
consolidation model, the Company is pursuing acquisition targets in
the finance and accounting, administrative, engineering, IT, and
Light Industrial staffing space. For more information, please
visit: www.staffing360solutions.com. Follow Staffing 360
Solutions on Facebook, LinkedIn and Twitter.
Forward-Looking StatementsThis
press release contains forward-looking statements, which may be
identified by words such as "expect," "look forward to,"
"anticipate" "intend," "plan," "believe," "seek," "estimate,"
"will," "project" or words of similar meaning. Although Staffing
360 Solutions, Inc. believes such forward-looking statements are
based on reasonable assumptions, it can give no assurance that its
expectations will be attained. Actual results may vary materially
from those expressed or implied by the statements herein due to the
Company’s ability to successfully raise sufficient capital on
reasonable terms or at all, available cash on hand and contractual
and statutory limitations that could impair our ability to pay
future dividends, our ability consummate additional acquisitions
and successfully integrate newly acquired companies, to organically
grow our business, to successfully defend potential future
litigation, changes in local or national economic conditions, the
ability to comply with contractual covenants, including in respect
of its debt, as well as various additional risks, many of which are
now unknown and generally out of the Company’s control, and which
are detailed from time to time in reports filed by the Company with
the SEC, including quarterly reports on Form 10-Q, reports on Form
8-K and annual reports on Form 10-K. Staffing 360 Solutions does
not undertake any duty to update any statements contained herein
(including any forward-looking statements), except as required by
law.
Investor Relations Contact: Harvey Bibicoff,
CEO Bibicoff + MacInnis, Inc. +1
818.379.8500 harvey@bibimac.com
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