Rocky Mountain Liquor announces Significant Acquisition
Edmonton, Alberta CANADA, Sep 21, 2009 (Filing Services Canada via COMTEX) --
Company: Humber Capital Corp (RUM)
Rocky Mountain Liquor Inc. (RUM - TSX Venture), listed on the TSX Venture Exchange (the "Exchange"), today announced a strategic acquisition.
"We are pleased that on the day of changing our name to Rocky Mountain Liquor Inc., we are also announcing a new acquisition." stated Peter Byrne, CEO. "With this addition Rocky Mountain Liquor gains a significant entry in the liquor service segment in North Central Alberta."
Rocky Mountain's wholly owned subsidiary, Andersons Liquor Inc. ("Andersons") has entered into a definitive agreement with a vendor to acquire its operations in North Central Alberta, subject to due diligence and final approvals.
Ms. Allison Byrne, company COO went on to explain, "The aggregate purchase price of these assets is estimated to be $2.0-million dollars, including inventory. The acquisition consists of a retail store location and a liquor service business with significant market share." Alberta's exclusive liquor distributor, Connect Logistics, ranks liquor stores according to their volume of cases purchased and this vendor ranked in the top 3% of almost 1200 stores provincially, ranking 29th highest for 2008. Ranking by Brewers Distributing Limited, Sleemans Breweries Ltd. and Big Rock Brewery Income Trust has not been publicly disclosed, but is believed this operation holds significant market leadership for beer products in the region and the province. The liquor service segment provides retail liquor service to commercial businesses.
"We have been able to develop good logistical policies, procedures and order automation, as a result of the operations of our own Enterprise Fulfillment Center, which services our retail locations. We desire to bring these synergies to the operations of this successful operator. This acquisition is in line with our growth strategy, and we expect it to be immediately accretive." Mr. Byrne said.
Andersons has sufficient financial resources to complete these transactions with existing bank financing. After this acquisition, the Company will have available financing in excess of $6.0-million dollars to continue its growth strategy. Should the transaction close as intended, Andersons will operate 26 stores in Alberta, five in Northern Alberta, five in Southern Alberta and sixteen in Central Alberta and an Enterprise Fulfillment Center in Wetaskiwin, Alberta.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains "forward-looking statements" within the meaning of applicable securities laws relating to the future growth and priorities for the Company, and the ability to execute the business strategy. Readers are cautioned not to place undue reliance on forward-looking statements, and should not rely on past performance when evaluating this acquisition, and in particular results achieved in 2008 and previous periods. Past results might not be a certain indication of future performance, which is subject to other risks, including but not limited to changes in operational policies, changes in management, changes in strategic focus, market conditions and customer preferences. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that these events may not materialize as well as those additional factors discussed in the section entitled "Risk Factors" in RUM's Management Discussion and Analysis, which can be obtained at www.sedar.com. If they do materialize, there remains a risk of non-execution for any reason (including but not limited to the inability to locate suitable acquisitions or new store development locations).
For further information:
Peter J. Byrne
Chief Executive Officer
(780) 686-7383
Allison Byrne
Chief Operating Officer
(780) 483-8183
Tracey Bean
Chief Financial Officer
(780) 683-2326
Rocky Mountain Liquor Inc.
Suite 200
17834 106 Ave
Edmonton, AB, T5S 1V4
Source: Humber Capital Corporation (TSX-V RUM)
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Company: Humber Capital Corp (RUM)
Related terms: acquisition, alberta, bank, beer, brewery, business, canada, ceo, commercial, distributor, edmonton, market, market share, products, retail, securities
