SCOTTSDALE, Ariz., Feb. 17, 2017 /PRNewswire/ -- Delta International Oil & Gas Inc. (OTCQB: DLTZ) ("Delta") is pleased to announce that it has signed a Letter of Intent ("LOI") to acquire Naptech Test Equipment, Inc. ("Naptech") in collaboration with Bayberry Capital, Inc. ("Bayberry"). The signing of the LOI is the first step in a strategic acquisition plan of technology companies that Delta has developed.
Under the LOI, Delta will acquire 100% of the outstanding shares of Naptech in exchange for a combination of preferred and common stock of Delta. As part of the transaction, Bayberry Capital principals Jay Wright and Bill Forkner will become advisors to and shareholders of Delta. Throughout the process, the current Delta shareholders will maintain control of management, the board, and the majority of the outstanding shares of the company. Following signing the LOI, there is a 30-day due diligence period and Delta's auditors will review Naptech's financials prior to closing. Once the definitive agreement is executed and the transaction closes, Delta will invest in Naptech to help accelerate its growth.
"We're really excited to move the company into the next step," stated Santiago Peralta, CEO of Delta. "As we are in the process of selling our existing properties in Argentina, it will be great to have the Bayberry team with their extensive M&A expertise involved with Delta as we seek to grow the company over the next 24-36 months. Naptech, led by Roger Briggs, has deep IT experience and appears to be a great first candidate to work with us to execute our strategy."
About Naptech Test Equipment, Inc.
Naptech has been in the IT and Test Equipment business for over 23 years. The company focuses on providing IT services and selling enhanced test equipment to both government customers and commercial clients in industries ranging from Telecom to Utilities. During its time in business, Naptech has generated over $70 million in total revenue with gross margins of up to 68%.
Forward Looking Statements
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SOURCE Delta International Oil and Gas, Inc.