2013-12-21 01:26:51 -
Calgary, Alberta CANADA, December 20, 2013 /FSC/ - Mosaic Capital Corporation (M - TSX Venture, M.PR.A - TSX Venture), ("Mosaic"), is pleased to announce that it has acquired the remaining 25% of Remote Waste LP ("Remote") for an acquisition cost of $2.2 million. Mosaic now owns 100% of Remote. This acquisition follows the settlement of litigation between Mosaic and the former owner of Remote. With the closing of this acquisition Mosaic will realize 100% of the income from Remote for the 2013 calendar year. This income adjustment will be reflected in Mosaic's 4th Quarter financials.
"We are very pleased to announce our additional investment into Remote to own 100% of the company," commented John Mackay, Executive Chairman and CEO. Mr.
Mackay added, "We originally acquired our 75% ownership in Remote for approximately $7.4 million in 2008 and since Remote's first fiscal year under Mosaic's ownership management has grown the EBITDA by approximately 150%. Remote has a strong management team that continues to expand the company geographically as well as adding new services to its existing offerings. We believe with the continued oil and gas exploration in northern Alberta and British Columbia Remote will have the ability to continue to grow and expand. This acquisition further continues our strategy to diligently deploy capital for the long term benefit of our shareholders."
ABOUT MOSAIC CAPITAL CORPORATION
Mosaic is an investment company based in western Canada that owns a portfolio of established businesses with competitive advantages that have a history of generating cash flow from their operations. Mosaic's objective is to create long term value for our shareholders and business partners and to have that reflected in our share price. We believe that this is achieved by growing free cash flow per share and retained earnings. We do this by acquiring businesses that we understand at attractive prices and we manage our risk through extensive due diligence, creative transaction structuring and working closely with our businesses after acquisition.
FOR FURTHER INFORMATION PLEASE CONTACT:
Mosaic Capital Corporation
400, 2424 - 4th Street SW
Calgary, AB T2S 2T4
Tel: (403) 270-4658
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking information and statements within the meaning of applicable Canadian securities laws (herein referred to as "forward-looking statements") that involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. All information and statements in this press release which are not statements of historical fact may be forward-looking statements. The words "believe", "expect", "intend", "estimate", "anticipate", "project", "scheduled", and similar expressions, as well as future or conditional verbs such as "will", "should", "would", and "could" often identify forward-looking statements. In particular this news release may contain forward-looking statements regarding anticipated financial and operating performance for Remote, a subsidiary of Mosaic. Such statements or information, if any, are only predictions and reflect the current beliefs of management with respect to future events and are based on information currently available to management. Actual results and events may differ materially from those contemplated by these forward-looking statements due to these statements being subject to a number of risks and uncertainties. Undue reliance should not be placed on these forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature forward-looking statements involve assumptions and known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, projections and other forward-looking statements will not occur. A number of factors could cause actual results to differ materially from the results stated in the forward-looking statements, including, but not limited to, risks related to: general economic and business conditions; third parties honouring their contractual obligations with Mosaic and its subsidiaries; adverse fluctuations in commodity prices; competition for, among other things, capital, equipment and skilled personnel; the inability to generate sufficient cash flow from operations to meet current and future obligations; the inability to obtain required debt and/or equity capital on suitable terms; competition for acquisition targets; supply disruptions; adverse weather conditions; seasonality and fluctuations in results. Should any of the risks or uncertainties facing Mosaic and Remote materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance, activities or achievements could vary materially from those expressed or implied by the forward-looking statements contained in this news release.
Readers are cautioned that the foregoing list of risks is not exhaustive. Additional information on these and other factors that could affect the operations or financial results of Mosaic and its subsidiaries are included in Mosaic's annual information form for the year ended December 31, 2012 which has been filed under Mosaic's profile on SEDAR (www.sedar.com).
Although Mosaic believes that the expectations represented by any forward-looking-statements contained herein are reasonable based on the information available to them on the date of this news release, management cannot assure investors that actual results, performance or achievements will be consistent with these forward-looking statements. Any forward-looking statements herein contained are made as of the date of this press release and Mosaic does not assume any obligation to update or revise them to reflect new information, events or circumstances, except as required by law.
To view the press release as a PDF file, please click on the following link:
Source: Mosaic Capital Corporation (TSXV: M - TSXV: M.PR.A)
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