OMHI - OM Holdings International Completes Reverse Merger and Becomes Profitable with Acquisition of Second Largest Grocery and Merchandise Store in BVI
OM Holdings International, Inc. (OTC PINK:OMHI) has completed a reverse merger with K-Mark Foods, acquiring One Mart, the second largest grocery store in the British Virgin Islands. In FY 2020, One Mart generated $28.2 million in revenue and $1.6 million in operating profit, exceeding average profit margins in its industry. The company plans a five-year growth strategy, including new stores and logistics hubs across the Caribbean. Additionally, it aims to innovate retail technology with a LOCAL ON-DEMAND ECONOMY (LODETECH) service.
- Acquisition of One Mart enhances market presence in the Caribbean and adds profitable revenue streams.
- One Mart's strong performance: revenue increased from $27.2 million in 2019 to $28.2 million in 2020, with a significant operating profit margin of over 6.6%.
- Strategic growth plan to open additional stores over five years, targeting densely populated areas.
- Introduction of LODETECH for improved logistics and convenience, potentially lowering costs for consumers.
- None.
MIAMI, FL / ACCESSWIRE / May 18, 2021 / We welcome you to OM Holdings International, Inc. (OTC PINK:OMHI). Our company began with the purchase of a public company, Portage Resources, Inc. (Portage), which was incorporated under the laws of the State of Nevada in 2006. In July 2020, as part of a restructuring, all the assets and liabilities of Portage were sold off. We then acquired K-Mark Foods, the holding company for One Mart, a 35-year-old grocery and merchandise store founded by Mark Vanterpool in 1986. In 2020, the company entered into an agreement to complete a reverse merger, and Mr. Vanterpool was appointed a director and CEO of the new company, OM Holdings International, Inc.
One Mart is the second largest grocery and merchandise store in the British Virgin Islands (BVI). The store offers its many customers groceries, home goods, electronics, furniture and some buildings supplies; it also sells wholesale products to restaurants and hospitality venues and caters to small businesses, similar to Costco and Sam's Club stores. The store has been profitable for 35 years and has grown nearly every year since it was founded. One Mart revenue for the fiscal year ended August 31, 2020 was
To date, our company has outperformed profitable industry metrics: stores like One Mart in the USA have an average profit margin between 2.12 percent and 2.49 percent, while One Mart has yielded more than 6.6 percent. Even during the Covid-19 pandemic, we enjoyed a 5.5 percent profit margin.
Over the last several months our management team and board of directors have put a five-year growth plan in motion, and we expect to build and open additional stores, not only in the BVI, but throughout the Caribbean. The locations we are considering are all located in densely populated areas, and we expect some of the new stores to be much larger than our first store. These retail centers will also serve as logistic hubs throughout the Caribbean. These logistics hubs will help to reduce consumer prices for the 42.7 million residents of the Caribbean. We are currently building a new store, and we are drafting plans for at least two more stores to be built within the next 12 months. We anticipate we will have news to communicate with you as these new stores are opened and new sites negotiations reach a fruitful conclusion.
We are also exploring the possibility of expanding into building materials to give our retail and commercial customers additional products and services. Our philosophy is that store sales are driven by empowering people to access products of all kinds through physical purchases and technology. Our product mix in our first store provides our customers with affordable and accessible goods and services essential to their livelihoods.
Our management team, based in the Caribbean and in the United States, comprises professionals who have spent on average 20 years in the business and know how to build stores from first shovel to opening, on time and within budget, and their expertise in buying in greater volumes and high quality consistently satisfies our customers. This will also add value to our company's bottom line.
We also anticipate transforming our business with technology. Covid-19 has accelerated worldwide demand for contactless payments, and over the next 12 months we expect to combine contactless logistics technology with our retail business to vertically integrate a LOCAL ON-DEMAND ECONOMY (LODETECH) within the Caribbean and other underserved markets. Our customers will be able to open our app on any mobile device, place an order for pick up or delivery. The convenience factor is a major marketing tool - we are excited about what this service will mean for busy families and retail organizations in the region. We will take charge of the supply chain, manage all logistics and associated costs to bring lower cost goods to island nations in the Caribbean. We envision LODETECH as a single platform for the provision of a comprehensive and ever-expanding range of direct services.
We are extremely excited about what is coming for our company, particularly as the expansion of our offering brings greater convenience and improved quality of life to customers throughout the Caribbean, where we expect to be at the vanguard of the intersection of retail and technology.
We'd like to close by sharing with you our mission statement: "OM Holdings International intends to become the leading provider of essential goods and services to the Caribbean basin over the next five years. This will be done by empowering the people of the Caribbean with access to a wide range of goods and services that are essential to their livelihood. The company will make goods and services affordable and available to all levels of communities. The company's corporate citizenship will be clearly demonstrated by giving back to these communities, propelling a high standard of living with better employment, higher levels of education and investment in entrepreneurship."
We intend to achieve this mission every quarter while bringing real value to our shareholders. We are thrilled at the prospect of what we believe we can accomplish.
DISCLOSURES
"Safe Harbor" This press release contains forward-looking statements including statements regarding the timing of the revenue from the partnership and the partnership's success. The words "believe," "may," "estimate," "continue," "anticipate," "intend," "should," "plan," "could," "target," "potential," "is likely," "will," "expect" and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Important factors that could cause actual results to differ from those in the forward-looking statements include consumer reaction to our products and new regulations which affect the distribution of these products. Further information on our risk factors is contained in our filings with the OTC Markets. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
CONTACT:
Michael Porter, Director of Investor Relations
Phone: 973-865-9357
Email: mporter@omholdingsinc.com
SOURCE: OM Holdings International, Inc.
View source version on accesswire.com:
https://www.accesswire.com/647819/OMHI--OM-Holdings-International-Completes-Reverse-Merger-and-Becomes-Profitable-with-Acquisition-of-Second-Largest-Grocery-and-Merchandise-Store-in-BVI
FAQ
What recent acquisition did OMHI make?
What are the expected financial benefits of the One Mart acquisition for OMHI?
How does One Mart's profit margin compare to other grocery stores?
What is the purpose of the five-year growth plan by OMHI?
What technology innovations is OMHI planning to implement?
