NEW YORK, July 5, 2012 /PRNewswire/ -- Eagle Oil Holding Company (OTC: EGOH) is pleased to provide a corporate update by announcing that the company has entered into discussions regarding a reverse merger with InPlays Sports Corp.
Brian Wilmot, President and Chief Executive Officer of Eagle Oil Holding Company stated, "Although we are in the early stages of discussions and negotiations, I am pleased to provide to Eagle Oil shareholders a corporate update and information regarding the future of the company. Over the last 6 years Eagle Oil has made numerous attempts to begin workovers to generate revenues and profit on the Siler property in Texas, all of which would've increased shareholder value, however, the economic climate, combined with the difficulty in raising capital and finding partners to put the property into production has made our efforts very difficult."
"After careful consideration and discussions, Eagle Oil Holding Company is entering into a reverse merger agreement with InPlays Sports Corp. I am pleased to provide details regarding the reverse merger process in this press release. We will issue additional press releases as timeframes are determined and final details are concluded. We will also have a conference call within the next 2-months to answer any questions you may have. Details regarding the conference call will be issued accordingly."
A reverse merger is the acquisition of a public company by a private company so that the private company can bypass the lengthy and complex process of going public. The transaction typically requires reorganization of capitalization of the acquiring company.
In a reverse merger, shareholders of the private company purchase control of the public company and then merge it with the private company. The transaction involves the private and public company exchanging information on each other, negotiating the merger terms, and signing a share exchange agreement. At the closing, the public company issues its shares and board control to the shareholders of the private company. The private company's shareholders pay for the public company by contributing their shares in the private company to the public company that they now control. This share exchange and change of control completes the reverse merger, transforming the formerly privately held company into a publicly held company.
InPlays Sports Corp. (www.inplays.com), is an online sports-media company, providing news and information about youth sports programs, including middle-, junior- and high school sports, college sports and independent leagues. Our vision is to provide ALL school and independent leagues sporting news to our website visitors. We do that by providing a medium for students throughout the United States to write articles about schools, teams and players. We connect advertisers to the consumers who matter most to them - STUDENTS! InPlays also raises cash for youth sports programs through a Sports Picking Contest that allows people to be contestants and win cash prizes.
Andrew Barwicki, Founder and CEO of InPlays commented, "I am very pleased to have entered into discussions with Brian in pursuing a reverse merger that I believe will increase shareholder value for Eagle Oil shareholders and provide InPlays shareholders with a public market for our stock. The success at InPlays is attributed to the market and need for advertisers to reach students in an uninterrupted manner. Brian and I have scheduled a number of additional meetings over the next 2-weeks to continue our current negotiations and finalize a deal that we believe will be fair and beneficial to Eagle Oil and InPlays shareholders."
Forward- Looking Statements
Safe Harbor Statement: This press release contains forward-looking statements that reflect the Company's current expectation regarding future events. Actual events could differ materially and substantially from those projected herein and depend on a number of factors. Certain statements in this release, and other written or oral statements made by Eagle Oil Holding Co. and InPlays Sports Corp are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond the Company's control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. The Company assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. Important factors that could cause actual results to differ materially from the Company's expectations include, but are not limited to, those factors that are disclosed under the heading "Risk Factors" and elsewhere in documents filed by the Company from time to time with the United States Securities and Exchange Commission.
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SOURCE Eagle Oil Holding Company