IRVINE, CA--(Marketwired - Apr 23, 2014) - Universal Bioenergy Inc., (OTCQB: UBRG), a publicly traded independent diversified energy company that markets and distributes natural gas, petroleum, coal and electricity, announced it is considering making major repurchases and buy backs of its outstanding shares common stock. The Company is considering re-purchasing up to 20% or 566 million shares of its 2,833,340,081 outstanding shares of common stock.
The Company believes one of the best uses of its financial resources is to re-purchase its own stock. This signifies the high level of confidence the Company has in its long-term growth potential, and gives it the opportunity to take advantage of the current low stock price in the market.
On August 14, 2013, the Company announced that it had completed the repurchase of 300,000,000 of its outstanding shares of common stock in a privately negotiated transaction. All of the 300,000,000 shares were cancelled and returned to the Corporations treasury. The 300 million shares repurchased represented 12% of the Company's outstanding shares of common stock at that time.
Universal's Senior Vice President Solomon Ali says, "We believe our stock is currently undervalued compared to our revenues and assets. Our current position and future outlook puts us in a position to buy back shares of our common stock that presently trade at a very low market price. The message we want to send to our shareholders and stakeholders is that we feel good about our future goals for growth and expansion. The best investment we can make, is an investment in our own Company. We feel that by investing in our own Company, this would be a good investment not only by reducing the number of outstanding shares, but also providing great value to our shareholders."
Shares of the Company's common stock may be purchased from time to time on the open market and in privately negotiated transactions. With Board approval, the timing and amount of any shares repurchased will be determined based on the Company's evaluation of market conditions and other factors. Repurchases will be made in compliance with all SEC rules and other legal requirements and may be made in part under a Rule 10b5-1 plan, which permits stock repurchases when the Company might otherwise be precluded from doing so. Any open market purchases will be conducted in accordance with the limitations set forth in Rule 10b-18 of the Securities and Exchange Commission and other applicable legal requirements.
About Universal Bioenergy Inc.
Founded in 2004, Universal Bioenergy Inc., is a publicly traded independent diversified energy company that produces and markets natural gas, petroleum, coal and propane. We market energy resources to the largest public utilities, electric power producers and local gas distribution companies in the U.S., that serve millions of commercial, industrial and residential customers. We are also engaged in the acquisition and development of existing or recently discovered oil and gas fields, leases and surface coal mines. For more information visit www.universalbioenergy.com
Safe Harbor Statement - There are matters discussed in this media information that are forward looking statements within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. Such statements are only forecasts and actual events or results may differ materially from those discussed. For a discussion of important factors which could cause actual results to differ from the forward looking statements, refer to Universal Bioenergy Inc.'s most recent annual report and accounts and other SEC filings. The company undertakes no obligation to update publicly, or revise, forward looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.