GOIP Announces Asset Purchase Agreement to Acquire FedEx Ground and Home Routes in the New York City Area
GoIP Global Inc (OTC PINK:GOIG) has signed an asset purchase agreement to acquire substantially all assets of a privately-held transportation company operating FedEx routes in NYC. This follows a prior LOI disclosed on June 1, 2020. FedEx approval is pending, and the purchase will be funded in cash without shareholder dilution. The company anticipates immediate accretion from this acquisition as part of its plan to develop a transportation division aimed at strong cash flow, capitalizing on the growing demand in e-commerce.
- Signing of an asset purchase agreement to acquire FedEx routes.
- Expected to be immediately accretive to earnings.
- Acquisition aligns with strategy to build a profitable transportation division.
- Focus on growing in the e-commerce and 'on-demand' economy.
- None.
NEW YORK, NY / ACCESSWIRE / August 12, 2020 / GoIP Global Inc (OTC PINK:GOIG) announced today, the signing of an asset purchase agreement to acquire substantially all of the assets of a privately-held transportation company that operates FedEx home and ground routes in the NYC area, this follows the LOI that was announced in a press release on June 1, 2020. The acquisition is subject to approval by FedEx; as well as the acquisition of a second FedEx route that the Company has signed a letter of intent to acquire. As previously stated, the purchase price will be paid in cash and will not be dilutive to shareholders. The Company expects the acquisition to be immediately accretive.
The acquisition is part of GoIP's (to be renamed TransWorld Holdings) strategy to build a transportation division that is expected to provide strong and consistent cash-flow. The Company sees FedEx routes as opportunistic in today's changing "on demand," e-commerce economy. It is the Company's intention to acquire additional FedEx routes as it builds its transportation unit.
TransWorld's Board see tremendous opportunities in growing further into the e-commerce and "on-demand" economy. TransWorld's primary focus is to bring value to its shareholders.
About FedEx Routes
Many FedEx delivery routes are not actually owned by FedEx, but rather by small independent businesses. These businesses maintain a contract with FedEx which outlines the services to be provided by the contractor, standards required by FedEx, and the area the contractor is assigned (the zip code/route). FedEx pays these contractors on a weekly basis. These routes are divided between Line Haul, Ground and Home delivery services.
About GoIP Global/ TransWorld Holdings Inc.
TransWorld's mission is to operate as a profitable holding company operating in a number of business segments, initially including transportation, simple technology services, consumer goods and active investments. TransWorld's primary focus is to bring value to its shareholders by bringing last mile solutions in the ecommerce world. TransWorld is in the process of changing its name to TransWorld Holdings Inc. and will apply for a new symbol. To learn more, please visit www.transworldenterprises.com.
Safe Harbor Statement Information in this news release may contain statements about future expectations, plans, prospects or performance of GoIP Global, Inc. that constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. The words or phrases "can be," "expects," "may affect," "believed," "estimate," "project," and similar words and phrases are intended to identify such forward-looking statements. GoIP Global, Inc. cautions you that any forward-looking information provided by or on behalf of GoIP Global, Inc. is not a guarantee of future performance. None of the information in this press release constitutes or is intended as an offer to sell securities or investment advice of any kind. GoIP Global, Inc.'s actual results may differ materially from those anticipated in such forward-looking statements as a result of various important factors, some of which are beyond GoIP Global, Inc.'s control. In addition to those discussed in GoIP Global, Inc.'s press releases, public filings, and statements by GoIP Global, Inc.'s management, including, but not limited to, GoIP Global, Inc.'s estimate of the sufficiency of its existing capital resources, GoIP Global, Inc.'s ability to raise additional capital to fund future operations, GoIP Global, Inc.'s ability to repay its existing indebtedness, the uncertainties involved in estimating market opportunities and, in identifying contracts which match GoIP Global, Inc.'s capability to be awarded contracts. All such forward-looking statements are current only as of the date on which such statements were made. GoIP Global, Inc. does not undertake any obligation to publicly update any forward-looking statement to reflect events or circumstances after the date on which any such statement is made or to reflect the occurrence of unanticipated events.
CONTACT:
GoIP Global Inc
ko@transworldenterprises.com
1-917-268-0660
SOURCE: GoIP Global Inc
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FAQ
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