GLOBAL SPILL MANAGEMENT, INC., ANNOUNCES LETTER OF INTENT TO ACQUIRE TOTAL MANAGEMENT, INC.
PARKER FORD, Pa., Sept. 21 /PRNewswire/ -- Global Spill Management, Inc. (NASDAQ: GSMI) (the "company") announced today the signing of a Letter of Intent with Total Management, Inc., for the purchase of all the outstanding capital stock of Total Management for a consideration of $950,000 in market value of the company's common stock at the time of closing, plus an earnout of additional shares of common stock, over a five-year period, based on revenues and earnings. Based on unuadited results for its fiscal year ended March 31, 1993, Total Management had over $1,800,000 in revenues and net income of over $130,000. Total Management, headquarterd in Wilmington, Del., specializes in emergency spill response; mobile railcar cleaning, inspection, and switching at refinery and chemical plants; and environmental construction, such as tank removal and installation. Total Management is also qualified to work in the most hazardous and toxic environments, often referred to as "Level A" qualification, and requires workers to be totally encapsulated, without any surface exposure to the surrounding toxic environment. Peter V. White, chairman and chief executive officer of the company, stated: "The acquisition of Total Management would be a great step forward for the company, not only in increased assets and revenues, but in expertise, as it will lead the company into the new markets of "on- site" railcar cleaning and repair, tank installation and "Level A" projects involving the most highly toxic and hazardous substances and environments. The company's existing bonding capability and the combined expertise of the company and Total Management would allow the company to bid and work on larger and more unique projects in Delaware, New Jersey, Pennsylanvia, Maryland and Virginia. The consummation of the transactions contemplated by the Letter of Intent are subject to the approval of the boards of directors of both the company and Total Management; the negotiation, execution, and delivery of a definitive purchase agreement; and certain other contingencies, including, but not limited to, an independent audit, certain financial tests and certain appraisals. Global Spill Management, Inc., is a full-service environmental contracting and consulting company serving Pennsylvania, New York, New Jersey, Maryland, Delaware and the Delaware River Basin. The company also manufactures and sells oil spill containment booms, adsorbent booms, skimmers and related equipment and supplies. /delval/ -0- 9/21/93 /CONTACT: Joe Procopio of JP Financial Group Ltd., 703-978-3721, for Global Spill Management/ (GSMI)
CO: Global Spill Management Inc.; Total Management, Inc. ST: Pennsylvania, Delaware IN: ENV SU: TNM
DC-DS -- DC008 -- 4041 09/21/93 09:42 EDT
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|Date:||Sep 21, 1993|
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