SOURCE: Bad Toys Holdings, Inc.

July 05, 2005 11:21 ET

Bad Toys Holdings, Inc. to Acquire an Additional $10 Million in Revenues

KINGSPORT, TN -- (MARKET WIRE) -- July 5, 2005 -- Bad Toys Holdings, Inc. (OTC BB: BTYH) announced today it has signed a Binding Letter of Intent to acquire DHP, Inc., an emergency ambulance service provider based in Kentucky.

Southland Health Services, Inc. ("Southland"), a wholly owned subsidiary of Bad Toys Holdings, Inc. and the shareholders of DHP, Inc., executed a binding Letter of Intent on July 1, 2005, wherein the parties agreed that Southland will acquire 100% of the issued and outstanding common stock of DHP, Inc. in exchange for $2,500,000. Southland will pay the purchase price by making a cash down payment of $1,200,000 and delivering its promissory note for $1,300,000. Additionally, the shareholders of DHP, Inc. will receive warrants to purchase 100,000 shares of the common stock of Bad Toys Holdings, Inc. at an exercise price of $1.00 per share. The acquisition of DHP, Inc. will add the State of Kentucky to Southland's area of coverage.

DHP, Inc.'s gross billings are estimated to exceed $10 million annually. DHP, Inc. is operating profitably and the transaction is scheduled to be completed by August 31, 2005, subject to various conditions, including Southland's ability to obtain financing on terms and conditions favorable to Southland.

Upon completion of the acquisition, Bad Toys Holdings' Southland Division will be operating in eight states with gross annual revenues in excess of $70 million and net revenues exceeding $52 million as compared to Southland's 2004 net revenues of $36 million.

"Bad Toys Holdings is continuing to work aggressively on its M&A program to provide value and stability to its shareholder base," said Larry N. Lunan, President and CEO.

About Bad Toys Holdings, Inc.

Bad Toys Holdings, Inc. (BTYH), participates in two distinct business segments:

Southland Health Services, Inc.

This division provides medical transportation services, including emergency and non-emergency ambulance services. Our Southland Division operates in over 200 communities within the following seven states: Mississippi, Alabama, Florida, Louisiana, Kansas, Tennessee, and Virginia. We operate in excess of 160 ambulances and wheelchair vans and have over 1,100 full and part-time employees. At our current run rate we will transport more than 130,000 patients in this calendar year.

Bad Toys, Inc.

This division, Bad Toys, Inc., American Eagle Manufacturing Company and Gambler Motorcycle Company, continues to design, manufacture, distribute, service and sell custom made, Harley-Davidson type, V-twin motorcycles from component parts. We also offer premium accessories, parts, customizing items and apparel related to Harley-Davidson motorcycles on-line and directly from our retail and factory outlets. This division also participates in Sprint Car Racing products and custom car construction & restoration.

For further information, contact Bad Toys, Inc., Larry N. Lunan, President and Chief Executive Officer, (423) 247-9560 or Al Kau, Investor Relations in California at (888) 795-3166. Further information about the Company may be obtained on its website at www.badtoys.net.

Certain statements in this release and other written or oral statements made by or on behalf of the Company are "forward-looking statements" within the meaning of the federal securities laws. Statements regarding future events and developments and our future performance, as well as management's expectations, beliefs, plans, estimates or projections relating to the future are forward-looking statements within the meaning of these laws. The forward-looking statements are subject to a number of risks and uncertainties including market acceptance of the Company's services and projects and the Company's continued access to capital and other risks and uncertainties outlined in its filings with the Securities and Exchange Commission, which are incorporated herein by reference. The actual results the Company achieves may differ materially from any forward-looking statements due to such risks and uncertainties. These statements are based on our current expectations and speak only as of the date of such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise.

Contact Information

  • Contact:
    Larry N. Lunan
    President and Chief Executive Officer
    Bad Toys, Inc.
    (423) 247-9560
    www.badtoys.net

    Al Kau
    Investor Relations in California
    (888) 795-3166