PORT WASHINGTON, N.Y., Dec. 6, 2012 /PRNewswire/ -- Chocolate Candy Creations Inc (OTC PINK SHEET: CCYS) announced today that it has entered into a Letter of Intent to engage in a reverse-merger with Energy Innovative Products Inc, a privately held corporation with its principal headquarters located in New Jersey and Austin TX; see www.eipsave.com.
The proposed merger is subject to several specific closing conditions and will involve a change in stockholder control of CCYS, change of management, change of corporate headquarters and other significant matters. Subject to the conditions precedent, as well as usual and customary conditions, including certain funding requirements, the merger is proposed to be completed within the next 30 days. Following completion of the merger, Energy Innovative Products will become a wholly-owned subsidiary of Chocolate Candy Creations and the corporate name of Chocolate Candy Creations will be changed to reflect the new business.
Consummation of the transaction is also subject to shareholder approval of both entities and completion of due diligence review of financial and legal matters, as well as execution of definitive transaction documents. As a result of the merger, if completed, the shareholders of Energy Innovative Products will become the holders of approximately 90% of the outstanding common stock of the combined companies. As of the date of this release, Chocolate Candy Creations has approximately 118 shareholders of record holding approximately 163,000 shares of Common Stock. Energy Innovative Products has approximately 45 holders of shares of common stock. Certain outstanding debt and other convertible securities of Energy Innovative Products and Chocolate Candy Creations will either be converted into common stock or repaid upon terms to be determined and negotiated.
Energy Innovative Products, (EIP) is a company that develops and markets products focused on using 21st century technology to reduce energy usage in Ice Machines, Freezers, Coolers, Refrigerators and other AC induction motor applications.
EIP has developed a small, easy to install patented single-phase motor controller device known as the EIP-1 that reduces energy consumption by reducing the electricity used in an AC induction motor.
AC Induction Motors are the most ubiquitous energy-consuming device in the home, workplace and the food and beverage industry. It is estimated that AC Induction Motors consume 65% of all the energy used in the United States. The EIP-1 has been fully tested and certified by Intertek Testing Services a leading global inspection, product testing and certification company headquartered in London, United Kingdom. It is the largest testing center of consumer goods in the world and has a network of more than 1,000 laboratories in over 100 countries. The EIP-1 has the ETL listed Mark by Intertek, which is proof of product compliance (electrical, gas and other safety standards) to North American safety standards.
Independent testing results performed by Intertek have verified that beverage cooler energy consumption is reduced by up to 35% with the EIP-1 motor controller installed. The EIP controller is an energy saving device that also reduces noise while maintaining temperature levels.
Legal Notice Regarding Forward-Looking Statements
This release includes forward-looking statements. Such statements involve risks and uncertainties which could cause actual results to differ materially from those set forth herein. No statement herein should be considered an offer or a solicitation of an offer for the purchase or sale of any securities. Although Chocolate Candy Creations believes that the expectations reflected in the forward-looking statements and the assumptions upon which they are based are reasonable, it can give no assurance that such expectations and assumptions will prove to have been correct. Forward-looking statements, which involve assumptions and describe our future plans, strategies, and expectations, are generally identifiable by use of the words "may," "will," "should," "could," "expect," "anticipate," "estimate," "believe," "intend," or "project" or the negative of these words or other variations on these words or comparable terminology. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties, including but not limited to adverse economic conditions, intense competition, lack of meaningful research results, entry of new competitors and products, adverse federal, state and local government regulation, inadequate capital, unexpected costs and operating deficits, increases in general and administrative costs, unanticipated losses, financial condition and stock price, inability to carry out research, development and commercialization plans and other specific risks. There can be no assurance that further research and development, and /or whether clinical trial results, if any, will validate and support the results of our preliminary research and studies. Neither Chocolate Candy creations nor EPI undertakes any obligation to publicly release the results of any revisions to these forward looking statements that may be made to reflect the events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Neither Chocolate Candy Creations nor EPI are subject to the reporting requirements of the Securities and Exchange Commission under the Securities and Exchange Act of 1934 as amended.
SOURCE Energy Innovative Products Inc