Castellum, Inc. Signs LOI to Acquire $14 million Government Contractor 

Rhea-AI Summary

Castellum, Inc. (OTC:ONOV) has signed a letter of intent to acquire a government contractor on the U.S. East Coast, projected to generate approximately $14 million in revenue. The acquisition aims to close by the end of June 2021, pending due diligence. Upon completion, Castellum anticipates a revenue run-rate exceeding $30 million, facilitating its up-listing to the NYSE MKT. CEO Mark Fuller highlighted positive performance indicators from recent acquisitions, which have built strong business pipelines, indicating growth potential for 2021.

Positive

• Projected revenue increase to over $30 million post-acquisition.
• Potential up-listing to NYSE MKT, enhancing credibility and visibility.
• Strong business performance from recent acquisitions, indicating growth prospects.

Negative

• Acquisition is subject to due diligence, introducing uncertainty.
• Risk that the letter of intent may not lead to a finalized transaction.

POTOMAC, Md., April 27, 2021 (GLOBE NEWSWIRE) -- Castellum, Inc. (OTC:ONOV) announces the signing of a letter of intent (LOI) to acquire a US East-coast based government contractor, generating approximately $14 million in revenue. Subject to due diligence and the execution of a definitive merger agreement, the Company hopes to close the acquisition by the end of June 2021.  

Mark Fuller, President and CEO of Castellum, Inc., states, “We are very pleased to announce to our shareholders that we have identified and inked a strong third acquisition. This transaction, should we be able to close it, would give us over a $30 million revenue run-rate, sufficient to enable us to begin the up-listing process to the NYSE MKT. Additionally, our Corvus business and recently acquired MFSI both are performing in line with our expectations and have developed strong qualified business pipelines. Each subsidiary has significant growth opportunities this year which could move our revenue even higher going forward.”

About Castellum, Inc. 

Castellum, Inc. (OTC:ONOV)  is a defense-oriented technology company which is executing strategic acquisitions in the cyber security, information technology and software, information warfare, and electronic warfare and engineering services verticals - http://castellumus.com/  

Forward-Looking Statements: 

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain, based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and matters disclosed at www.otcmarkets.com. These risks and uncertainties could cause the company's actual results to differ materially from those indicated in the forward-looking statements.  For the potential merger announced today, there is a risk that the LOI does not translate into a closed transaction.

Contact: 
Mark Fuller, CEO 
info@castellumus.com 
301-961-4895 

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/0b4f1f04-4a7f-4d15-b881-7b8806c7b57c

FAQ

What is the revenue generated by the targeted acquisition of Castellum, Inc.?

The targeted acquisition is projected to generate approximately $14 million in revenue.

When does Castellum, Inc. expect to close the acquisition?

Castellum, Inc. hopes to close the acquisition by the end of June 2021.

What revenue run-rate does Castellum expect after the acquisition?

Castellum expects to achieve a revenue run-rate exceeding $30 million after the acquisition.

What is the strategic importance of this acquisition for Castellum, Inc.?

This acquisition is strategic as it positions Castellum for an up-listing to the NYSE MKT and enhances overall revenue and growth potential.

What risks does Castellum, Inc. face regarding the acquisition?

There is a risk that the letter of intent may not lead to a finalized transaction, introducing uncertainty to the acquisition plans.