FAIRFIELD, Calif., June 29, 2021 (GLOBE NEWSWIRE) -- via InvestorWire – Less than two weeks after DSG Global Inc.’s (OTCQB: DSGT) ("DSG" or the "Company") electric vehicle division, Imperium Motor Company, held the grand opening of its Experience Center for new EVs under the Imperium brand in Fairfield, California, the Company announces today it has entered a binding memorandum of understanding for the acquisition of Ontario, Canada-based MTG, Inc.
MTG is a well-established automotive import/export company in the U.S., Canada, and Mexico with over 25 years of experience and extensive commercial fleet and retail connections throughout the global automotive industry.
Completion of the transaction, which is subject to several conditions, would see the integration of MTG’s customer base and multimillion-dollar monthly sales flow into a new wholesale division of DSG led by Michael Tersigni and Johnny Cooper, both preeminent automotive specialists. Cooper formerly built the same business model in the late ‘90s, completing transactions for over 12,000 vehicles and up to $321 million in sales annually. His company was successfully sold to one of the largest auto auction groups in the world.
With the new division and management team DSG has assembled, the Company expects to see dynamic results in its new business unit soon after closing of the transaction.
DSG’s strategy will increase cash flow with positive revenue but also enhance the Company’s EV business with the ability to offer a unique buying experience to Imperium clients. DSGW will be one of the only OEM EV companies offering to take used inventory and dispose of the units, making it the go-to full-service provider of world-class EV products for fleet and consumer transportation.
Planned to be finalized in Q3 of 2021, subject to the completion of due diligence and successful up-listing of the Company to NASDAQ, among other conditions, the acquisition will allow U.S. based DSG to expand cross-border sales immediately for new and late-model vehicles and will afford MTG’s current and future fleet and consumer channels strong trade-in values on electric vehicles purchased from Imperium, along with a large dealer base creating sales for Imperium Motors.
Aspects of the deal include:
- DSG Global will pay for the business in stock, post-Nasdaq up-listing.
- Both Cooper and Tersigni will be joining the DSG Global team and will also receive a percentage of net profits from the DSGW division.
- DSGW will begin year one with an anticipated minimum of 100 car sales monthly, reaching an estimated $33 million annual sales; year two will see up to 200 car sales monthly, reaching $58 million annual sales with generous gross margins.
- Average turn cash flow every 21 days.
- Stock option incentives will be offered based on performance.
- The DSGW division will also bring forth dealers in Mexico for a large percentage of the Imperium lineup.
For DSG Global, this acquisition is a monumental achievement.
“We are acquiring a proven entity and the talent that built it,” said Bob Silzer, CEO of DSG Global. “MTG and Cooper’s previous company have completed well over a billion dollars in sales. The opportunities before us are to maintain the excellent company they have built and leverage their sales and distribution channels for growing our electric vehicle sales more expediently.”
Silzer said the timing for DSG Global’s business model appears excellent.
“Every business proposition boils down to when, how and how much,” he said. “Well, when is now, in that we have SUVs, trucks, sedans and other vehicles either in port or arriving soon. How we are getting product to market is explained via this acquisition and the dealers with whom we will work. Both our manufacturing partners have no issues obtaining critical computer chips, therefore no delivery delays, as several manufacturers have experienced. And the how much could have been a relevant question if we had not purchased MTG to be a wholesale distribution network.”
“Because of this opportunity, we are really only left with the all-important question of how much the Imperium brands will cost consumers. The answer is, surprisingly less than many other EVs. For example, the ET5 SUV comes extremely well-equipped at around $40,000 less available incentives and tax credits in most cases,” Silzer concluded.
MTG’s successful leadership team, Michael Tersigni and Johnny Cooper, will stay with the soon-to-be combined companies. They join a trio of highly successful industry veterans who have also recently joined DSG Global. The team includes:
- Rick Curtis, former president of Mullen Technologies, who has deep experience with EV and the automotive industry and now leads Imperium Motor Company as CEO.
- Bill Rex, who previously led Rexhall Industries and BYD Bus and Battery companies, is a well-known leader in the RV and electric bus business and now heads the Imperium Commercial and Bus Division for DSG Global.
- Christian Dubois, whose experience spans BMW Canada, Mercedes Benz Canada, and The Dilawri Group of Companies, was recently named president of Imperium Motors Canada
DSG Global’s other division, Vantage Tag Systems (VTS), recently announced its sales are steadily increasing, with 15 golf courses recently choosing VTS to provide fleet management solutions for their electric golf cart fleets. The combined contracts add nearly $1 million in revenue for installation and maintenance of the systems.
About DSG Global
DSG Global is an emerging global technology company with an array of interconnecting businesses in some of the fastest-growing market sectors. With roots in the golf industry, in which it specializes in fleet management with patented analytics, mobile touch screen engagement and electric golf carts under the Vantage Tag Systems (VTS) brand, the Company is moving quickly with road-ready electric vehicles for sale in the first quarter of 2021 through its Imperium Motor Company subsidiary.
About Imperium Motor Corp.
Imperium Motor Corp. (IMC) is an EV sales, manufacturer and marketing company that offers a wide variety of affordable vehicles equipped for the North American market, with emphasis on great design, a green mindset, performance, and functionality. Vehicles will include high-speed, mid-speed and low-speed electric vehicles including cars, trucks, SUVs, vans, buses, and scooters. For additional information about Imperium Motors’ product lines, please visit www.imperiummotorcompany.com.
About Vantage Tag Systems
Vantage Tag Systems (VTS) provides patented electronic tracking systems and fleet management solutions to golf courses and other avenues that allow for remote management of the course's fleet of golf carts, turf equipment and utility vehicles. Its clients use VTS' unique technology to significantly reduce operational costs, improve the efficiency plus profitability of their fleet operations, increase safety and enhance customer satisfaction. VTS has grown to become a leader in the category of fleet management in the golf industry, with their technology installed in vehicles worldwide. VTS is now branching into several new streams of revenue through programmatic advertising, licensing, and distribution, as well as expanding into commercial fleet management, PACER single rider golf carts and agricultural applications. Additional information is available at http://vantage-tag.com/.
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This news release contains forward-looking information. Such forward-looking statements or information are provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes. Any such forward-looking information may be identified by words such as "anticipated," "proposed," "expects," "intends," "may," "will" and similar expressions. Forward-looking information contained or referred to in this news release includes but is not limited to the Company's ability to secure manufacturing facilities and supply chains, the benefits the Company expects to derive from existing and planned products, and the Company's ability to achieve production and sales targets, generally.
Forward-looking statements or information are based on a number of factors and assumptions, which have been used to develop such statements and information, but which may prove to be incorrect. Although the Company believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because the Company can give no assurance that such expectations will prove to be correct. Factors which could cause actual results to differ materially from those described in such forward-looking information include, but are not limited to: successful completion of due diligence, satisfaction of conditions, and completion of the proposed transaction with MTG, INC. negative cash flow and future financing requirements to sustain operations; dilution; limited history of operations and revenues and no history of earnings or dividends; competition; economic changes; delays in the Company's expansion plans; regulatory changes; and the impact of and risks associated with the ongoing COVID-19 pandemic, including the risk of disruption at the Company's facilities or in its supply and distribution channels. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company.
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