Empire Services generated unaudited revenues over $20 million in each of fiscal years 2020 and 2019, with net positive cash flows from operations
MassRoots, Inc. (“MassRoots” or the “Company”) (OTCPink:MSRT), a technology company focused on the regulated cannabis industry, today announced that it has executed a Letter of Intent (the “LOI”) with Empire Services, Inc. (“Empire”). Pursuant to the LOI, the Company plans to acquire all equity of Empire in a primarily stock-based transaction with the estimated value of approximately $14 million.
“We believe this acquisition will be transformative for our Company and its shareholders – upon closing, for the first time in our history, we expect MassRoots will be generating significant revenue and positive cash flows from operations,” stated Mr. Isaac Dietrich, Chief Executive Officer of MassRoots. “This deal is a new beginning for MassRoots and I could not be more excited to work with our team to execute on our strategic business objectives.”
“We intend to build MassRoots into a diversified conglomerate of profitable businesses as we focus on creating long-term shareholder value,” stated Mr. Danny Meeks, President of Empire. “I look forward to establishing strong corporate governance and operating procedures that will facilitate our continued growth. I believe this will be the first of many acquisitions and asset purchases.”
Established in 2002, Empire operates 10 metal recycling facilities in Virginia and North Carolina and expects to continue expanding its footprint in the coming quarters. It has historically generated higher profit margins when market prices for metal rise.
Upon closing of the transaction, Danny Meeks, the sole shareholder of Empire, will join MassRoots’ Board of Directors as its Executive Chairman. Over the coming months, the Company intends to settle its outstanding preferred shares and debts primarily with cash flows from operations.
MassRoots, Inc. (OTC Pink: MSRT) is a leading media company focused on the regulated cannabis industry, with a significant following and traffic across its online and social media platforms. MassRoots has been covered by CNBC, CNN, Financial Times, Wall Street Journal, New York Times, Reuters, and the Associated Press. For more information on MassRoots, please visit MassRootsInvestors.com.
About Empire Services
Established in 2002, Empire Services, Inc. operates 10 metal recycling facilities in Virginia and North Carolina and expects to continue expanding its footprint in the coming quarters. Empire is headquartered in Virginia and has approximately 65 employees as of April 2021.
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Originally published via Business Wire