SOURCE: Power Sports Factory

August 08, 2005 13:21 ET

Power Sports Factory™ Completes Reverse Merger With Megaworld, Inc.

PHILADELPHIA, PA -- (MARKET WIRE) -- August 8, 2005 -- Power Sports Factory™, Inc. (OTC: PWSF), a rapidly growing manufacturer, distributor and importer of high-end motorized vehicles, including atvs, scooters, motorcycles, dirt bikes and generators, announced that it has completed its reverse merger with Megaworld Inc. (OTC: MEGW). This merger provides Power Sports Factory™ with a secure publicly traded vehicle to assist in raising the working capital to accommodate future growth, increase inventory levels, expand our future product offerings and open additional markets. The merged public company, headquartered in Pennsauken, NJ, will operate under the name Power Sports Factory™, Inc., adopting its current business strategy and current management team led by Founder & Chief Executive Officer, Steve Rubakh. The newly formed public company will be quoted on the OTC Bulletin Board & Pink Sheets Board under the symbol PWSF. Following this transaction, the company will remain incorporated in the state of Delaware under the name of Power Sports Factory™, Inc., and adapt to a fiscal year ending December 31st.

"The completion of this merger enables Power Sports Factory™ to broaden its investor base, create a liquid market for our stock, and financially support the accelerated introduction of our unique product range," commented Steve Rubakh. "As a result of recently realized strategic initiatives, including newly signed distribution agreements, our seasoned management team will now have the working capital to drive the aggressive development and accelerate a market introduction of our new products. We are currently in the process of introducing many products, including 2006 models: "EuroJet"™ RX8I -- high performance 50cc scooter, "Motostrada"™ 150cc and 260cc -- street legal super scooters and "V-Spider" -- 250cc chopper. All models will be produced in compliance with all new 2006 EPA standards.

About Power Sports Factory :

Power Sports Factory™, Inc. (the "Company") is rapidly growing manufacturer of QJUSA, YAMATI™ and STRADA™ MOTORCYCLES -- full line of all-terrain vehicles, dirt bikes, street legal motorcycles and scooters. Majority of products are manufactured by Qianjiang Motorcycles, LTD -- the largest manufacturer of motorcycles in Asia with 12,000 employees and 2004 worldwide sales of 775 million USD. The Company is a sole North American distributor for all Qianjiang Motorcycles manufactured products. Its seasoned management is firmly committed to building YAMATI™ and STRADA™ brands, to developing a significant North American and International Network of authorized regional distributors and factory direct dealers. Company is determined to distribute only the finest motorized vehicles, to provide the highest profit margins for its dealers, to become the leader in this fast developing and highly profitable industry segment. The Company has experienced a 100% growth in last 2 years and well positioned to rapidly increase future revenues thru number of recent distribution contracts and acquisitions.

Included in this release are certain "forward-looking" statements, involving risks and uncertainties, which are covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding Power Sports Factory's™ performance. Such statements are based on management's current expectations and are subject to certain factors, risks and uncertainties that may cause actual results, events and performance to differ materially from those referred to or implied by such statements. In addition, actual future results may differ materially from those anticipated, depending on a variety of factors, including continued maintenance of favorable license arrangements, success of market research identifying new product opportunities, successful introduction of new products, continued product innovation, the success of enhancements to Power Sports Factory's™ brand image, sales and earnings growth, ability to attract and retain key personnel, and general economic conditions affecting consumer spending, including uncertainties relating to global political conditions, such as terrorism. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Power Sports Factory™ does not intend to update any of the forward-looking statements after the date of this release to conform these statements to actual results or to changes in its expectations, except as may be required by law.

Contact Information

  • CONTACT:
    Power Sports Factory™, Inc.
    Steve Rubakh, Founder & CEO
    888.VENTO.MC
    www.powersportsfactory.com
    Email Contact

    Investor Relations Firm:
    International Public Corporation, Inc
    215.962-4558
    Fax: 856.488.8077