LONDON, June 14, 2012 /PRNewswire/ -- E-Waste Systems, (OTCBB: EWSI), is pleased to announce today that it has signed a non-binding letter of intent (LOI) to acquire an end of life electronics company in the Southeast USA, as part of its strategy to become a leading provider of e-waste services around the globe.
Martin Nielson, CEO of EWSI states, "We are very pleased to have signed the letter of intent for this acquisition. The services, location, customer base, qualifications and team that make up this target will provide us with a solid entry into this important region."
The target is significantly profitable and EWSI expects that they have the ability to sustain their growth as a key part of EWSI's plans to establish itself as an important player in this 55B dollar industry. Upon completion, this acquisition would provide complementary services, important geographic location and a customer base which closely matches EWSI's strategic emphasis on servicing OEM's, major retailers, large corporations, and government institutions. Operating from 25,000 sf of modern space, the target delivers an array of end of life services with solid pending credentials, including R2 and ISO. This LOI requires that the names of the company and the terms of the deal be kept confidential to protect customers, suppliers, and employees, but will be announced as soon as the definitive agreement has been executed.
Due diligence has commenced and definitive agreements have been tendered. Closing is contingent upon, among other things, completion of two years of PCAOB qualified audits, which are being commissioned. Management plans no immediate changes in the operations or workforces for the target company and expects it will be business as usual in the meantime.
About E-Waste Systems, Inc.:
Headquartered in London, where e-waste regulations are the most stringent in the world, EWSI aims to be a leading provider of e-waste services in key jurisdictions globally. Blumberg Associates estimates the e-waste sector at $55B annually, and legislation increasingly mandates that e-waste can no longer be landfilled. OEM's, and retailers are increasingly responsible for end-of-life management of e-waste, while CSR demands highly compliant, professional solution providers. The e-waste industry is highly fragmented and EWSI considers these elements as an attractive environment for its acquisition strategy. www.ewastesystems.com
EWSI's future results or actions using the words "anticipate," "believe," "estimate," "may," "intend," "expect," etc. are 'forward-looking statements' within the Private Securities Litigation Reform Act of 1995, the Securities Act of 1933 and the Securities Exchange Act of 1934 and are subject to risks, uncertainties, and factors that could cause actual results to differ materially, including, but not limited to, future capital needs, changes, delays, or market acceptance.
Martin Nielson, CEO
SOURCE E-Waste Systems, Inc.