Company Acquires Lodi-Based Industrial Gas Distributor, Adds $1 Million in Annual Sales
PHOENIX, AZ, Nov. 09, 2020 (GLOBE NEWSWIRE) -- Taronis Fuels, Inc., (“Taronis” or the “Company”) (OTCQB: TRNF), a global producer of renewable and socially responsible fuel products, today announced the acquisition of all business assets of an independent industrial gas and welding supply company based in Lodi, California. The target historically generated approximately $1 million in annual sales and has experienced a reduction in local competition due the COVID-19 pandemic. Several of the national industrial gas distributors have scaled back operations in the region, presenting an opportunity to grow the acquired business. The transaction includes $0.4 million in cash at closing and $0.4 million in a seller-financed note.
The Company has executed a rapid expansion of its combined US operations in 2020. Taronis entered the year with 20 retail locations and no wholesale operations. With this transaction, the Company operates a combined 32 retail and wholesale locations. The Company’s retail network, operating under the MagneGas Welding Supply brand, operates a total of 27 locations across six states. The Company also operates five wholesale industrial gas locations in four states under its TGS brand.
“We want to take this opportunity to welcome these newest additions to our MagneGas Welding Supply industrial gas sales team in Lodi,” commented Scott Mahoney, CEO of Taronis Fuels. “The northern California market has faced a number of challenges in 2020, including the impact of COVID-19 and widespread catastrophic wildfires. We saw the opportunity to expand into Lodi as a highly auspicious next step in our expansion further south from our current operations in the Sacramento and Bay Area markets.”
About Taronis Fuels, Inc.
Taronis Fuels, Inc. is a global producer of renewable and socially responsible fuel products. Our goal is to deliver environmentally sustainable, technology driven alternatives to traditional fossil fuel and carbon-based economy products. We believe our products offer a vastly cleaner solution to legacy acetylene and propane alternatives.
Taronis is also dedicated to providing fundamentally safer solutions to meet the industrial, commercial and residential needs of tomorrow’s global economy. Our products have been rigorously tested and independently validated by global gas authorities as vastly safer than acetylene, the most dangerous industrial gas in use today.
Lastly, we strive to deliver products that offer significant functional superiority at a reduced cost to the end consumer. Through these efforts, we support 9 of the 17 United Nations Sustainable Development Goals. For more information, please visit our website at www.taronisfuels.com/
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to future events, including our ability to raise capital, or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
For a discussion of these risks and uncertainties, please see our filings with the Securities and Exchange Commission. Our public filings with the SEC are available from commercial document retrieval services and at the website maintained by the SEC at http://www.sec.gov.
Investor Contacts:
Michael Khorassani
IR@Taronisfuels.com