AgriBioTech Inc. Agrees to Acquire Seed Corporation of America and Green Seed, with Annual Sales of Approximately $40 Million.LAS VEGAS--(BUSINESS WIRE)--Oct. 6, 1997--Dr. Johnny R. Thomas, chief executive officer of AgriBioTech Inc. (Nasdaq/NM:ABTX), Monday announced that AgriBioTech has agreed to acquire Seed Corporation of America and Green Seed (collectively, ``Seed Corp.''), a leading East Coast forage and turfgrass seed distribution company, with combined annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. sales of approximately $40 million. Terms of the proposed acquisition were not disclosed by the parties. Closing of the acquisition is contingent upon Adj. 1. contingent upon - determined by conditions or circumstances that follow; "arms sales contingent on the approval of congress" contingent on, dependant on, dependant upon, dependent on, dependent upon, depending on, contingent completion of due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. and the negotiation of a definitive purchase agreement. While AgriBioTech's management expects to successfully close this transaction since all significant terms have been negotiated, there can be no assurance that the transaction will close. Alan Rosoff, president and chief executive officer of Seed Corp., has agreed to manage Seed Corp. under a long-term employment agreement. In addition, Rosoff will be working with ABT ABT About ABT Abteilung (German: Department) ABT Abbott Laboratories (stock symbol) ABT American Ballet Theatre ABT Associação Brasileira de Telemarketing ABT Abort ABT Availability Based Tariff corporate management in Las Vegas Las Vegas (läs vā`gəs), city (1990 pop. 258,295), seat of Clark co., S Nev.; inc. 1911. It is the largest city in Nevada and the center of one of the fastest-growing urban areas in the United States. . According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Thomas: ``This acquisition will enhance AgriBioTech's distribution market share east of the Mississippi River Mississippi River River, central U.S. It rises at Lake Itasca in Minnesota and flows south, meeting its major tributaries, the Missouri and the Ohio rivers, about halfway along its journey to the Gulf of Mexico. . ``The combined distribution network of Seed Corp., the previously announced and pending acquisition of Lofts Seed Inc. and ABT's current East Coast distribution base would give ABT an opportunity to significantly increase its already-strong presence in the Eastern part of the United States.'' AgriBioTech is a fully integrated full-service seed company specializing in the forage and turfgrass seed sector, complete with research and development of proprietary seed varieties, seed- processing plants and a worldwide distribution and sales network. The company has completed 14 acquisitions since Jan. 1, 1995, and is the largest forage and cool-season turfgrass seed company in the United States, with an annualized level of net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight of approximately $270 million, including Seed Corp., and two previously announced pending acquisitions with approximately $75 million (Lofts) and $10 million of sales (name undisclosed). -0- The statements discussed in this news release include forward- looking statements that involve a number of risks and uncertainties. These include the company's long-term lack of profitability, need to manage its growth, intense competition in the seed industry, seasonality of quarterly results and other risks detailed from time to time in the company's Securities and Exchange Commission reports. CONTACT: AgriBioTech Inc., Las Vegas John C. Francis, 702/798-1969 |
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