WEDDING INFORMATION NETWORK, INC., ANNOUNCES
ACQUISITION OF COLORADO DESIGNS, INC.
OMAHA, Neb., Nov. 7 /PRNewswire/ -- Wedding Information Network, Inc. (NASDAQ: WINN), announced today that on Nov. 1, 1991, the company purchased Colorado Designs, Inc., a Denver corporation doing business as Exquisite Designs, Inc., the leading supplier of motorsports apparel and involved in the specialty advertising industry.
Under the terms of the purchase agreement, Wedding Information Network, Inc. (the "company"), has acquired Colorado Designs, Inc., in an exchange of common stock. Under the purchase agreement the company privately issued 250,000 shares of company common stock in exchange for 100 percent of the outstanding stock of Colorado Designs, Inc., which will remain as a wholly owned subsidiary of the company. The 250,000 shares of company common stock will be held in escrow for a period of two years. The shares issued by the company as the purchase price may be adjusted based on certain covenants in the purchase agreement. After a five-year holding period, the company may be obligated to issue additional shares (up to 1,250,000 shares maximum) of common stock to the sellers in the event the price of the company's common stock has not equaled or exceeded $3 per share (as adjusted in certain events) for any period of 90 consecutive calendar days from between two years and five years after Nov. 1, 1991.
Kenneth L. Nanfito, chief executive officer of the company, stated, "The acquisition was made to provide new opportunities for the company's growth. Exquisite Designs is a company with a reputation for quality and has a significant portion of the motorsports apparel business."
Colorado Designs, Inc., D/B/A Exquisite Designs, which has been in the motorsports apparel business since 1975, had revenues of $3,150,000 for the fiscal year ended Dec. 31, 1990, with a loss of $217,466 (unaudited). As of Sept. 30, 1991, it reported assets of $964,594 and liabilities of $647,320 (unaudited), and earnings of $13,337 (unaudited) for the nine-month period ended Sept. 30, 1991.
Wayne Taziri, the former vice president and general manager for the company will now become executive vice president and general manager. Kenneth L. Nanfito, chief executive officer of Wedding Information Network, Inc., will take the title of president.
/CONTACT: Kenneth L. Nanfito of Wedding Information Network, 1-800-843-4983/
(WINN) CO: Wedding Information Network, Inc.; Colorado Designs, Inc. ST: Nebraska IN: SU: TNM JS -- MN015 -- 2432 11/07/91 17:31 EST