LOS ANGELES, Jan. 31, 2006 (PRIMEZONE) -- The management of Victor Industries (OTCBB:VICI) has determined it to be in the best interests of shareholders, should the merger with FSP be successfully completed, to form a new company to better service the soil additive and environmental remediation products Victor currently markets.
The new entity (Enviroteck Industrial Group Incorporated) will issue shares to the current shareholders of Victor Industries, Inc. The precise share amount and date of the dividend has not yet been determined. Management will seek to have Enviroteck listed on the pink sheets and then brought rapidly to the bulletin board.
Post merger, current shareholders will hold shares in one of the most promising broadband, Wi-Fi companies in one of the fastest growing markets in the world, while being issued shares gratis in the successor company supplying the products and services they originally invested in. The merger with FSP and the creation of its successor Enviroteck will give the current shareholders of Victor Industries shares in both companies.
While merger negotiations and due diligence remain ongoing, FSP continues its unprecedented growth, cementing its already substantial relationship with the government of China, a Fortune 100 company and a large multinational listed on the NYSE.
During this time Victor Industries has taken the opportunity to secure distribution for its core products in China and Vietnam. Major orders have been received from China and a protocol for extensive testing is being formulated at the University of Beijing. Domestically, one of America's largest sod distribution companies with approximately 1,000 retail outlets has agreed to test EnviroTurf for potential "own labeling." Victor has been contacted by a Las Vegas golf course developer regarding potential sale of our water retentive, environmentally responsible, soil additive EnviroTurf.
Several current Victor shareholders have legitimately asked executives of the company "What does a Chinese broadband, Wi-Fi company have to do with Victor Industries which is predominantly a provider of soil amendments and environmental remediation products?" The answer is simple: expanding market opportunities and enhanced financial profitability for shareholders.
This news release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Act of 1934, as amended; such statements are subject to risks and uncertainties that could cause actual results to vary materially from those projected in the forward-looking statements. The Company may experience significant fluctuations in operating results due to a number of economic, competitive and other factors. These factors could cause operations to vary significantly from prior periods, and those projected in forward-looking statements. Information with respect to these factors which could materially affect the Company and its operations are included on certain forms the Company files with the Securities and Exchange Commission.