VANCOUVER, BC--(Marketwired - September 01, 2016) - Mission Ready Services Inc. ("Mission Ready" or the "Company") (TSX VENTURE: MRS) is pleased to announce that it signed a Letter of Intent ("LOI") on August 30, 2016 to acquire Wild Things, LLC ("Wild Things)") for USD $4.5MM. Founded in 1981, Wild Things is a leading manufacturer of technical outerwear and gear with products currently in the field with every branch of the US Armed Forces.
Under the terms of the LOI, Mission Ready will acquire the business and certain assets of Wild Things, LLC for USD $4.5MM consisting of $3.5MM cash paid on closing of the acquisition (the "Close") and USD $1MM in Convertible Promissory Notes (each $25,000 Convertible Promissory Note, a "Note"). The Notes mature 2-years from date of issuance and are convertible at $0.10 during the first year subsequent to the Close and $0.15 during the second year. The Notes will bear interest at the United States Applicable Federal Rate at the date of closing, compounded semi-annually, and may be redeemed by Mission Ready before the maturity date upon thirty-day notice to the Note holder. Mission Ready is working with a New York-based investment firm to finalize a commitment of $3.5MM in debt financing to satisfy the cash portion of the purchase price.
Based in Middletown, Rhode Island, Wild Things has been in business for 35 years and produces highly engineered technical garments for the U.S. Military, including Marines, Special Forces, including U.S. Navy Seals and other elite units, Department of Homeland Security and other federal agencies, law enforcement, alpinists, explorers, climbers, bikers, campers, hikers, and outdoors enthusiasts worldwide. In addition, Wild Things has sold to military customers in 10 countries. The extensive portfolio of Wild Things products can be viewed on its website at http://www.wildthingsgear.com/.
"We believe these companies, when combined, will allow us to become one of the leaders in the industry in designing, manufacturing and providing state of the art products to law enforcement and special forces personnel throughout the world. We have high expectations for the company. Guided by safety and superior technology, its leaders are passionately focused on customers' physical protection and on building shareholder value," said Jack Wyant, Wild Things director and Managing Director of Blue Chip Venture Company, an investor in Wild Things.
The Wild Things team is led by Ed Schmults who has extensive experience in the outdoor apparel business including Patagonia, and Moonstone Mountain Equipment. Mr. Schmults is the former Vice Chairman of the Board of Directors of Recreational Equipment Inc. (REI) and a current Board member for Vera Bradley. Also, he is a former member of the Board of Trustees of National Outdoor Leadership School (NOLS), an international leadership and outdoor skills school, from 2009 - 2015. Ed served on the board of the Outdoor Industry Association from June of 2013 - August 2015. In addition, Ed serves as a mentor to retiring Special Forces members through his involvement with the Commit Foundation and the Station Foundation.
"This transaction enhances Wild Things ability to serve our customers -- military and consumer -- by improving our product development, manufacturing and sales capabilities," says Ed Schmults. "The entire Wild Things team is excited about the opportunities ahead."
Rod Reum, CEO of Mission Ready states, "As Mission Ready focuses its business model to become a premier manufacturer, we are excited with the prospect of adding the Wild Things team and business to the Company's current manufacturing business. The combining of the entities will allow us economies of scale, open new markets and allow access to additional sales channels for both businesses."
Mission Ready expects to close the acquisition in the fourth quarter of 2016, subject to financing and regulatory approval.
About Wild Things
Founded in 1981, Wild Things, LLC has earned a reputation for sophisticated, tough, lightweight technical outerwear, alpine-style backpacks, haul-bags, and innovative tactical clothing. Chosen for the world's most demanding conditions by the world's most demanding users, Wild Things, LLC manufacture its products in the USA under two divisions -- Wild Things for the outdoor enthusiast and WT Tactical for the unique needs of the military and law enforcement communities. In addition to the design studio and executive offices located in Middletown, Rhode Island, Wild Things operates a factory and second design studio in Gorham, New Hampshire. For more information, visit: www.wildthingsgear.com
About Mission Ready
MRSI's mission is to save lives and enhance the performance of military personnel, first responders, and those who protect us by working to ensure they are equipped with the best possible personal protective equipment.
Headquartered in Vancouver, BC, Mission Ready has three distinct, synergistic operating divisions:
- Strategic consulting services and manufacturers representation
- Equipment inspection, cleaning/decontamination and repair services of personal protection equipment
- Product research and development
Mission Ready's management team offers over 100 years of combined industry experience and is composed of industry experts in developing products, contracting, and selling to the federal government, first responders and tactical markets through open market procurements, teaming arrangements, and a variety of federal contract tools.
For further information, visit MissionReady.ca or contact:
Terry Nixon -- Director, Corporate Communications
Mission Ready Services Inc.
(signed "Rod Reum")
President & CEO
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "anticipate", "believe", "plan", "expect", "intend", "estimate", "forecast", "project", "budget", "schedule", "may", "will", "could", "might", "should" or variations of such words or similar words or expressions. Forward-looking information is based on reasonable assumptions that have been made by Mission Ready Services Inc. as at the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Mission Ready Services Inc. to be materially different from those expressed or implied by such forward-looking information.
Forward-looking statements are based on assumptions management believes to be reasonable. Although Mission Ready Services Inc. has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Mission Ready Services Inc. does not undertake to update any forward-looking information that is included herein, except in accordance with applicable securities laws.
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