Fort Lauderdale, FL, April 24, 2014 --(PR.com
)-- PayMeOn, Inc. (ticker symbol: PAYM) today announced that it had entered into a letter of intent for the acquisition of REI Marketing, LLC, a business dedicated to sophisticated brand marketing and management and the exclusive owner and operator of 1-800-SELL-NOW. REI is led by CEO and Founder, Kent Clothier, a nationally recognized marketing entrepreneur, speaker, mentor, and business coach.
PayMeOn will issue 3,600,000 restricted common shares in exchange for all the outstanding membership interests of REI Marketing, LLC. PayMeOn may also assume some or all of REI Marketing’s outstanding debt, subject to mutually agreeable limits between the parties to the transaction.
According to Ed Cespedes, CEO of PayMeOn, “We are extremely pleased that REI will become part of our team. The acquisition brings us sophisticated marketing know-how, access to the nationally recognized 1-800-SELL-NOW brand, established revenue, and most importantly, the acquisition aligns us with Kent and his team, which brings our ability to launch new products successfully to an entirely different level.”
Mr. Cespedes continued, “I believe the addition of REI’s marketing systems and know-how will allow us to bring our existing product ideas to market faster and allow us to expand our business model by partnering with third parties to sell their products as well. We may even contemplate taking stakes in the companies whose products we help promote. Needless to say, we are very excited by the opportunity to expand our business.”
The closing of the transaction is subject to various conditions, including final definitive documentation. The Parties may terminate the agreement by mutual consent or if the transaction has not been completed by November 1, 2014. Assuming all conditions are met or waived, the parties expect the transaction will close during the third quarter of 2014.
This press release includes management assumptions about our business prospects, financial forecasts, projections and other forward looking statements regarding PayMeOn, Inc., its business prospects and potential transactions it is considering. This forward-looking information is based on management assumptions and expectations which, while considered reasonable by PayMeOn management as of the date of this press release, are subject to risks (including risks that transactions mentioned in this press release may not be consummated), uncertainties, and other factors that may cause actual results and performance to materially differ from results or performance expressed or implied by the forward looking statements. A description of these risk factors can be found in our Annual Report on Form 10-K for the year ended December 31, 2013, filed with the Securities and Exchange Commission ("SEC"), and in our other filings with the SEC, which are available at www.sec.gov. PayMeOn, Inc. undertakes no obligation to publicly revise the forward-looking statements presented, except as required by law. This document is not intended to solicit any investment.
PayMeOn, Inc.’s CEO is a member of REI Marketing, LLC. In conjunction with the potential transaction mentioned in this press release, Mr. Cespedes intends to forego any equity due him for his ownership in REI Marketing, LLC.