SOURCE: Fortitude Group Inc

May 22, 2014 09:33 ET

Fortitude Group, Inc. Provides Public Update

ERIE, PA--(Marketwired - May 22, 2014) - Fortitude Group, Inc. (PINKSHEETS: FRTD) provides the public an update on outstanding corporate items. 

Management is proud to provide the public an update on pending corporate events:

  • OTCQB Acquisition - Due Diligence has progressed as expected with one outstanding item which is a 3rd Party Valuation of our recently acquired Database (over 1,600,000 qualified Opt-In Members). A valuation specialist has been retained to complete this task. Both sides are confident that due diligence will be completed prior to the May 30, 2014 deadline.
    • Industry Standard Valuation - According to the 2014 case study prepared by Subscription Site Insider (CLICK HERE) entitled "Email List Valuations: What's Your Opt-In Email List Worth as a Media Property on the M&A Marketplace Today?" the author provides valuations on specific opt-in data ranging from between $1 - $35 per name depending on eight key factors. Based on these 8 factors, the acquired domains membership database would be valued at the higher end of the spectrum and should be valued between $20 and $25 per opt-in name.
  • Affinity Elite Cards- Both the retail cards ordered and the $25.00 Special Offer Shareholder cards have completed production and will ship the first week of June.
  • VaporVites-The initial 5,000 order ships the first week of June and the remaining 10,000 units ship mid-June
  • - Our cloud based shareholder communication platform launches on May 26, 2014.
  • Quarterly Filing - The Company will have the quarterly report filed on or before the close of business on Friday, May 23, 2014.
  • Yield Sign - Corporate Counsel is aware of the yield sign on OTC Markets. Counsel is submitting the required legal opinion to OTC Markets prior to the Quarterly filing on May 23, 2014.
  • AFFW Special Share Distribution - The shares have been ordered and the Affinity transfer agent has submitted a bill for $7400.00 for this share issuance. This invoice was paid on Tuesday the 20th of May. The shares issuance should be completed on or before May 23, 2014.
  • Share Buy-Back Program - The Company has retired approximately 28% of its combined issued and outstanding stock. The process to retire the free trading stock via Cede and Co and the restricted stock with our Transfer Agent is still in progress and should reflect to the public mid-June. Upon verification that the current buy back reflects with both, we will continue to buy back our stock as ratified by our Board of Directors.
  • Primarq- The Company is awaiting specific due-diligence information from Primarq. It has come to our attention that management of Primarq has been sending out conflicting and disparaging messages via social media about Fortitude. We are not at liberty to discuss the progress of the proposed acquisition of Primarq, as we our bound by a tri-party non-disclosure agreement.
  • Corporate Websites - The Company is on schedule to have the following sites completed and launched to the public prior to the end of May 2014:
    • (Corporate Site) (Corporate Site) (Corporate Site)

Thomas J. Parilla, CEO of Fortitude, stated, "We are receiving several phone calls from shareholders, requesting information about the proposed merger and the disparity between the proposed valuation and our current stock price. As we get closer to the end of the due diligence period and our valuation is validated by a 3rd party specialist, I am confident the market will adjust accordingly. We have traded over 220 million shares in the past three trading sessions and has tracked over 50% of our daily trading volume as short sales. I am not a person that will blame the shorts or negative post on message boards as the reason for a declining stock price. We are going to continue to grow our business and enter into income producing agreements that add cash flow to our bottom line. If we continue this model, I am confident that our stock price will reflect its true value."

Fortitude Group, Inc. is a diversified company with investments in multiple sectors of the economy targeting joint ventures, wholly owned subsidiaries and/or majority/minority positions that cross various market segments with the goal of creating a quality company that builds intrinsic value for its shareholders.

Forward Looking Statements
This press release contains forward-looking statements. Such forward-looking statements are subject to a number of risks, assumptions and uncertainties that could cause the Company's actual results to differ materially from those projected in such statements. Forward-looking statements speak only as of the date made and are not guarantees of future performance. We undertake no obligation to publicly revise any forward-looking statements.

Contact Information

  • Contact
    Fortitude Group, Inc.
    Investor Relations
    Phone: 888-447-5501
    Email: Email Contact