Celebrity Entertainment reveals plans; acquisition and reverse stock split among highlights.PALM BEACH, Fla.--(BUSINESS WIRE)--Feb. 7, 1997--Celebrity Entertainment Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :CLEB) has reported its planned activities for early 1997. Among the highlights are an acquisition and a reverse split of common stock. Expansion of Celebrity's current resort facility and the conclusion of negotiations of a previously announced potential acquisition were also revealed. -- Letter of Intent to Acquire Energex Energex is an Australian energy distribution corporation owned by the Queensland Government and based in Brisbane and founded in 1922. Prior to the deregulation of the national energy market, the company was known as the South East Queensland Electricity Board (SEQEB), whose sole CLEB has signed a letter of intent to acquire a majority interest in Energex Inc., a developer and producer of oil and gas properties based in Breckenridge, Texas Breckenridge is a city in Stephens County, Texas, United States. The population was 5,868 at the 2000 census. It is the county seat of Stephens CountyGR6. The mayor is Jim McKay. . Energex is a privately held company privately held company A firm whose shares are held within a relatively small circle of owners and are not traded publicly. with mineral rights to explore and develop approximately 9,000 acres in Texas. Scientific studies and tests of the property indicate reserves in excess of several million barrels. Celebrity has provided Energex with working capital to secure the mineral lease on the property and to begin exploration. The company anticipates that 1996 production of oil and gas will be sufficient to support further development and production as well as anticipated net revenue to Celebrity. -- Shareholders Approve Reverse Stock Split As a result of letters of consent provided by shareholders owning over 50% of the company's common stock, the SEC has been notified that the company will cause a reverse split of the outstanding common stock on the basis of one new share of common stock for every 50 shares of existing common stock. As of Nov. 19, 1996 there were 15,215,412 shares of common stock outstanding. The company believes that the resulting shares will reflect a more stabilized sta·bi·lize v. sta·bi·lized, sta·bi·liz·ing, sta·bi·liz·es v.tr. 1. To make stable or steadfast. 2. price and will establish a simpler platform for reporting future net revenues which are expected due to the company's new operations and pending acquisition. -- Resort Facility in Florida Florida, state, United States Florida (flôr`ĭdə, flŏr`–), state in the extreme SE United States. A long, low peninsula between the Atlantic Ocean (E) and the Gulf of Mexico (W), Florida is bordered by Georgia and is Expanded During 1996, the company's resort facility near Ocala Ocala (ōkăl`ə), city (1990 pop. 42,045), seat of Marion co., N central Fla.; inc. 1868. It is a trade and processing center for citrus fruit, vegetables, and truck farm goods. , Fla. was expanded to accommodate 30% more users. In addition, personnel and other improvements were made that resulted in operations reaching full capacity during the current season. A new sales and marketing program has been initiated to sustain this level of operation and the resulting increase in net revenue. -- Negotiations Come To A Close After several months of friendly negotiations, the company has determined that negotiations for a privately held chain of restaurants have come to a close. Certain changes in the debt structure of the chain's parent entity precipitated this decision. It had previously been announced that Celebrity was investigating the acquisition of this restaurant chain. Celebrity Entertainment is engaged in the development, operation and ownership of a destination resort community and fishing camp located on Orange Lake, near Ocala in central Florida
Central Florida is the central region of the United States state of Florida, on the East Coast. . CONTACT: Media and investor: Laura P. Bennett, 407/425-6040 |
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