COMET ENTERTAINMENT INC. AGREES TO MERGE WITH TEXOIL CO.
COMET ENTERTAINMENT INC. AGREES TO MERGE WITH TEXOIL CO. ANAHEIM, Calif., Nov. 6 /PRNewswire/ -- Wes Baumgardner, president of Comet Entertainment Inc. (OTC) ("Comet") announced today that Comet has entered into an agreement to merge with Houston-based Texoil Co. Texoil Co. is an independent oil and gas exploration and production company with operations primarily in Louisiana. The completion of the merger is subject to, among other things, final approval by the respective boards of directors and a reverse split of Comet's shares outstanding. The effect of the merger, when completed, would result in the shareholders of Texoil owning approximately 95 percent of the total number of shares outstanding for the combined company and the shareholders of Comet owning approximately 5 percent of the shares outstanding. The company would also change its name from Comet Entertainment Inc. to Texoil Inc. Upon completion of the merger, the following individuals will serve as members of the board of directors: T.W. Hoehn Jr.; T.W. Hoehn III; Walter L. Williams; John L. Graves; W.F. Seagle; Joe C. Richardson Jr.; William F. Coffin. Baumgardner commented on the transaction saying, "We are pleased to announce this prospective merger. We believe that it will be in the best interest of all the Comet shareholders for Comet to participate in the exciting future of Texoil. In addition to the company's operations in Louisiana, Texoil is actively pursuing a variety of oil and gas exploration and production projects in Argentina. It is anticipated that upon the completion of the merger, the company may seek additional equity financing to facilitate further development of its domestic and international operations. Texoil, in business for 29 years, has an excellent background in domestic exploration and production. In addition, the company has a strong balance sheet with a current net worth exceeding $4,000,000. Comet Entertainment Inc. was previously in the business of owning and operating home video stores. The company entered into Chapter 11 proceedings on Dec. 20, 1990, and was discharged from Chapter 11 on March 14, 1991. The company has approximately 1,250 shareholders. -0- 11/6/92 /CONTACT: Bill Coffin for Comet Entertainment, 818-783-2400/ CO: Comet Entertainment Inc.; Texoil Co. ST: California IN: ENT OIL SU: TNM
KJ-BP -- LA014 -- 8203 11/06/92 13:16 EST
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|Date:||Nov 6, 1992|
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