FORT ST. JOHN, BRITISH COLUMBIA--(Marketwire - Nov. 19, 2012) - Macro Enterprises Inc. (TSX VENTURE:MCR) ("Macro") announces its wholly-owned subsidiaries have entered into an agreement to acquire the business owned and operated by North American Pipeline Inc. and North American Fleet Company Ltd. of constructing, installing, maintaining, testing and repairing pipelines and facilities in the oil and gas industry throughout Western Canada together with certain assets used in carrying on the business including pipeline construction machinery and equipment. In addition, the purchasers will take an assignment of a master services agreement with a major pipeline company to test and maintain certain aspects of its pipeline network. The parties will enter into a transition services agreement on closing to facilitate transition of the business to the purchasers.
The purchase price is $16,250,000, subject to normal adjustments, and is payable in full in cash on closing of the transaction. The transaction is subject to receipt of the consents and approvals necessary or advisable in connection with the transaction including the approval of the TSX Venture Exchange.
A success fee equal to 1% of the purchase price is payable to Mustang Management Ltd.("Mustang") of Calgary, Alberta on closing of the transaction. Mustang is arms' length to Macro.
Frank Miles, the President and Chief Executive Officer of Macro, says, "The acquisition of the pipeline construction and pipeline maintenance business represents an important strategic opportunity for our company and allows us to play a larger role assisting our customers as they expand their mainline networks."
Macro's core business is providing pipeline and facilities construction and maintenance services to major companies in the oil and gas industry in northeastern BC and northwestern Alberta. The Company's corporate office is in Calgary, Alberta. Its shares are listed on the TSXV under the symbol MCR. Information on the Company's principal operating unit, Macro Industries Inc., can be found at www.macroindustries.ca.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
This press release contains "forward-looking statements" within the meaning of Canadian securities legislation including, among other things, the opportunities to be realized from the acquisition. Forward-looking statements are necessarily based on assumptions that, while considered reasonable by Macro, are subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such forward-looking statements. There is no guarantee that the conditions to closing of the acquisition will be satisfied and the transaction will be completed. Investors are cautioned not to place undue reliance on these statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.