WILMINGTON, Del., Oct. 23, 2003 (PRIMEZONE) -- Delta Capital Technologies, Inc. (OTCBB:DCTN) has executed a Letter of Intent with the management of Sol Produce Imports Ltd, an importer and distributor of fresh and refrigerated food products from China. The document outlines Delta's intention, through its wholly owned subsidiary Albion Developments Inc., to acquire 30% of the issued and outstanding shares of Sol for one million shares of Albion with an option to acquire up to 100% of the shares for a further two million shares. In connection with the intended acquisition and option, Albion agrees to assist SOL in securing project financing of six hundred thousand dollars (USD $600,000). Closing is expected on or about the end of this month.
Delta's subsidiary Albion has been formed to take advantage of the emerging Chinese Markets. China is beginning to realize its potential as a world economic superpower. In 2001, China grew at more than seven times the rate of the U.S. economy and grew 8.2% in the first half of 2003, well above the growth of the USA's. China is already the world's fourth-largest industrial base, behind only the U.S., Germany and Japan.
Martin Tutschek, President of Delta Capital Technologies, Inc. confirms, "We've seen diplomatic breakthroughs, such as the U.S. designation of China as a 'most favored nation,' and its entry into the World Trade Organization. This and many other indicators show that the people of China, including its huge middle class, are ready for a full-scale economic evolution which potential, Delta must tap."
"Firstly, by working with Sol Produce to increase the range of products exported from China, and secondly, to seek out real estate opportunities in developing Chinese provinces. Sol's relationships in Asia have been an important factor in helping Sol increase gross revenues from approximately $300,000 to $800,000 per month during the last 12 months. These new relationships will be of great strategic benefit to Delta and its ability to undertake and execute proposals put forth in its business plan," he continued.
Sol was originally formed in 1998 to provide procurement, repacking, warehousing and distribution services for specialty Chinese products. Sol Produce has since expanded both into a larger demographic population and into organic natural foods. Today Sol operates with the goal of providing excellent products and service to a wide variety of customers in retail, foodservice and food distribution businesses in Canada, the United States and Asia. "With the establishment of a state of the art distribution center, advanced computer systems, strategic alliances, and acquisition of key personnel, we are positioning the company for the next phase of expansion that will enable us to be one of the formidable leaders in the food industry," said Tutschek. Sol is on track to exceed forecasts of CDN $10M for 2003. The Company serves a wide range of customers, with its major markets being in British Columbia, Ontario, Saskatchewan, Alberta, Manitoba, Quebec, New York and California.
Delta Capital will continue to aggressively pursue the acquisition of proven emerging companies that are poised for tremendous growth. Each of the specific enterprises or businesses to be reviewed by Delta will have to meet a certain minimum asset value and cash flow requirement in order to be considered.
Cautionary Statement: This news release may include certain "Forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act, as amended. All statements, other than statements of historical fact, included in this release are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. All forward-looking statements in this release are expressly qualified by this notice.