SCOTTSDALE, Ariz., Nov. 5, 2009 (GLOBE NEWSWIRE) -- EGPI Firecreek, Inc. (OTCBB:EFIR) announced today it has delivered all final and definitive documentation completing its acquisition of South Atlantic Traffic Corporation ("SATCO") in a leveraged buyout (LBO) as of November 4, 2009.
As the Company's newest wholly owned subsidiary, SATCO who has been in business since 2001, with several offices throughout the Southeast United States, reported nearly $15 million in annual revenues with a positive EBITDA. The acquisition will also add an estimated $1.5 million in assets to the Company's balance sheet.
SATCO's diversified products range from advanced types of traffic signal equipment, specialty traffic and light poles, data/video systems and ITS surveillance systems. Their well established relationships within the traffic industry allow them to procure and provide specialty items on an as needed basis, and can provide a solution for any custom size, design and color. SATCO engineers are available to help identify products that will meet the needs of any designated project. Their expert personnel have been providing traditional traffic control products to customers for many years and can offer troubleshooting assistance to agencies and contractor's as needed. SATCO also provides an array of lighting options to compliment its selection of steel, concrete and specialty poles. This approach provides their customers throughout the southeast U.S. with quality lighting solutions.
Most recently, SATCO reported that they have entered into an exclusive Distributor Agreement with a manufacturer of industrial wireless data radio modem communication networks that have optional embedded GPS radio location monitoring technologies.
Additionally, a second agreement has been signed with a manufacturer of spun concrete poles, high quality decorative outdoor lighting fixtures, fabricated metal poles, arms, and site furnishings. The additional lines will be a significant compliment to an already robust product line of traffic and intelligent transportation products currently being offered by SATCO.
Dennis R. Alexander, EGPI Firecreek, Inc. Chairman and CEO stated "We are extremely proud of the closing of this acquisition. We anxiously anticipate joining forces with SATCO's Operations and Executive Management Team as we continue to develop are ever increasing family of companies." He also stated, "We look forward to the future growth of SATCO's stellar operations and the integration of our strategic plans for growth. We also look forward to paving the way in building a unique model that will increase marketing and distribution channels for our Intelligent Traffic System products. I would also like to take this opportunity to thank those shareholders and investors who have given us the opportunity to see our business model come to fruition as we continue to build and maximize shareholder value. We are now in a position to focus our energies on our next acquisition which will double the size of our company upon completion."
About M3
EGPI through its M3 unit as its newest flagship operations has been aggressively pursuing acquisitions for the Company in the DOT construction industry on Federal and State levels in order to expand and vertically integrate its business. M3 specializes in the areas of lighting industry sales, design, product development, sourcing, contracting and capital markets. M3 is aggressively pursuing acquisitions for the Company in the DOT construction industry on Federal and State levels in order to expand its sales for lighting, guardrail, cameras, traffic management/signalization, utility moves, variable message boards and other non road construction opportunities, as well as, its pursuit of light and traffic fixture manufacturing plants both domestically and overseas. Future acquisitions in the DOT construction industry are expected to provide a labor force for the maintenance and remediation services the Company plans on providing.
About EGPI Firecreek, Inc.
EGPI Firecreek, Inc. before the decision to transition to embark on an acquisition strategy centered on the vertical integration of enterprises serving the DOT Construction and Intelligent Traffic System markets, thru its wholly owned subsidiary M3, Inc., was historically focused on oil production with an emphasis on acquiring existing oil fields with proven reserves, the rehabilitation of potentially high throughput oilfields, resource properties and inventories on an international basis thru the wholly owned subsidiary Energy Producers, Inc. ("Energy Producers").
EGPI Firecreek, Inc. is also looking to expand into Alternative energy sources as well as industries in the energy field. Other companies in the oil sector include, Exxon Mobil, Pantina Oil and Gas Inc., Frontier Oil Inc., and Cabot Oil & Gas Inc. through Energy Producers as well.
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Safe Harbor
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of EGPI Firecreek, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond EPGI Firecreek Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in EGPI Firecreek, Inc.'s filings with the Securities and Exchange Commission.