Design Automation Systems Becomes Publicly Traded Company Through Reverse Merger With Loch Exploration.HOUSTON--(BUSINESS WIRE)--Jan. 14, 1999-- Houston-based Design Automation Systems, Inc. today announced it became a publicly traded company publicly traded company A company whose shares of common stock are held by the public and are available for purchase by investors. The shares of publicly traded firms are bought and sold on the organized exchanges or in the over-the-counter market. on December 31, 1998, through a transaction in which Design Automation was acquired by Loch Exploration, Inc. (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB:DASI DASI Degree Angular Scale Interferometer DASI Digital Altimeter Setting Indicator DASI Dial Access Signaling Interface DASI Dial Access Service Interface ) for 14.4 million shares of Loch common stock valued at approximately $4.3 million. The name of the acquiring company, an inactive stock on the OTC bulletin board OTC Bulletin Board An electronic quotation listing of the bid and asked prices of OTC stocks that do not meet the requirements to be listed on the NASDAQ stock-listing system. , will be changed to Design Automation Systems, Inc. a systems integrator and computer value-added reseller A value-added reseller (VAR) is a company that adds some feature(s) to an existing product(s), then resells it (usually to end-users) as an integrated product or complete "turn-key" solution. (VAR) with 1998 sales of $22 million. The Loch common shares received by Design Automation shareholders will be subject to transfer restrictions imposed under the Securities Act of 1933, as amended. Upon completion of the transaction, the company had total outstanding common shares of 18,000,000. "With this transaction, we are creating an opportunity for Design Automation to fund and accelerate an already-impressive record of growth through an aggressive merger and acquisition program," said company founder and Chief Executive Officer Carl Rose. Prior to the acquisition, Loch formed a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. , Loch Energy, Inc., and transferred all its assets to the subsidiary. Loch's Board of Directors declared a dividend to Loch shareholders as of December 2, 1998, one share of Loch Energy, Inc., for each share of Loch Exploration, Inc. owned. A registration statement is currently being prepared that will register the distribution. Design Automation is a systems integrator, custom programmer, and premier dealer of Sun Microsystems Sun Microsystems, Inc. (NASDAQ: JAVA[3]) is an American vendor of computers, computer components, computer software, and information-technology services, founded on 24 February 1982. , Hewlett Packard, IBM (International Business Machines Corporation, Armonk, NY, www.ibm.com) The world's largest computer company. IBM's product lines include the S/390 mainframes (zSeries), AS/400 midrange business systems (iSeries), RS/6000 workstations and servers (pSeries), Intel-based servers (xSeries) , and Digital Equipment Corporation products and Internet security solutions. Since its inception in 1985, Design Automation has received numerous industry awards and has been ranked as one of America's Fastest Growing Private Companies by Inc. magazine (1992). It is regularly included among Houston's fastest growing companies in The Houston 100. Statements in this news release that are not historical facts, including statements about plans and expectations regarding products and opportunities, demand and acceptance of new or existing products, capital resources and future financial results are forward-looking. Forward-looking statements involve risks and uncertainties which may cause the Company's actual results in future periods to differ materially from those expressed. These uncertainties and risks include changing consumer preferences, lack of success of new products, loss of the Company's customers, competition and other factors discussed from time to time in the Company's filings with the Securities and Exchange Commission. |
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