SOURCE: Gold Bag, Inc.

October 22, 2010 10:07 ET

Gold Bag Announces Strategic Business Direction

RENO, NV--(Marketwire - October 22, 2010) -  Gold Bag, Inc. (OTCBB: GBGI) -- ("GBGI") is a Company focused on acquiring and developing gold mining properties primarily in the Americas. GBGI has developed a private equity strategy to acquiring gold mining properties following several key investment criteria:

  1. Primarily Gold;
  2. Assets must be in safe governmental jurisdictions primarily in the Americas. FGC will seek geographic diversification across its portfolio;
  3. Looking to invest $500,000 to $5 million in projects with significant exploration upside where returns are at their highest;
  4. Will look for assets ranging from grass roots exploration to near production. GBGI will look to have a balanced portfolio of properties across this spectrum so as to maximize returns while also mitigating risk;
  5. Investments may be structured as 100% control, minority/majority equity positions or debt depending on the transaction type and potential return;
  6. Where possible, GBGI will acquire properties with existing capable management teams and then provide senior level experienced management oversight;
  7. Once a property has matured to a sizable level, GBGI will seek to divest of the property either through a strategic sale or through a spin-off into a stand-alone public company.

GBGI CEO Grant White commented on this strategy: "Gold has performed very well over the past several years and based on current macroeconomic factors we see it continuing to perform well in the future. Most other business sectors have venture capital/private equity firms to help support them through the growth stage of a Company through to profitability. We firmly believe that applying a similar sound acquisition/investment strategy to the gold mining sector will fill a sizable market need and will hopefully deliver positive returns for investors. Over the coming months, GBGI will continue to expand its management team and advisory team with individuals with track records of success in the gold mining sector."

About Gold Bag, Inc.

Gold Bag, Inc. is a development stage company in the mining and minerals industry.

Contact Information

  • Investor Relations:
    Desert Son
    Kurt Schemers
    (623) 465-0844