IBCX
Press Release Source: IBAC Corporation
IBAC Corporation Board of Directors Approve Several Issues at a Meeting Held on Sunday 12/17/06
Monday December 18, 1:54 pm ET
NEW YORK--(BUSINESS WIRE)--IBAC Corporation (Pink Sheets:IBCX - News), a Hospitality Holding Company, yesterday Sunday 12/17/06 announced that its Board of Directors has approved unanimously to spin/sell off its restaurants and food service businesses to another publicly traded company, the Board at the same meeting also approved that the remainder of IBAC Corporation's assets and company will move to the OTCBB via a merger with an existing fully reporting OTCBB fully trading shell company.
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The first action that was approved was the spin/sell off of the company's restaurants and its holdings in its food service businesses, the value of the transaction is expected to be a minimum of $4,500,000 or as high as $5,000,000 dollars with a dividend to be paid to common shareholders in the form of either cash/stock or both. The dividend will be paid to shareholders only and exclude all officers and directors of the company. The company expects the transaction to be ready to close within Thirty (30) days, at that time the company will announce the payment/dividend structure and provide the name and symbol of the new company.
The second action that was approved was the merger of IBAC Corporation and the remaining real estate owned assets and future acquisitions into a fully reporting and trading OTCBB company, the surviving entity will include all of IBAC's real estate holdings and will maintain the IBAC name and share structure. The shareholders will receive equal value in the transaction of shares of the merger.
Edward W. Hayter the CEO of IBAC and the largest shareholder in the company "said that this plan to maximize the company's asset and shareholder value going forward is the best course of action, I believe that the spinning off of non real estate owned properties and recovering as much cash as possible to reinvest in real estate owned property's and moving the company to the OTCBB are the best way to maximize shareholder value."
This press release does not constitute an offer of any securities for sale. This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ, including, without limitation, the company's limited operating history and history of losses, the inability to successfully obtain further funding, the inability to raise capital on terms acceptable to the company, the inability to compete effectively in the marketplace, the inability to complete the proposed acquisition and such other risks that could cause the actual results to differ materially from those contained in the company's projections or forward-looking statements. All forward-looking statements in this press release are based on information available to the company as of the date hereof, and the company undertakes no obligation to update forward-looking statements to reflect events or circumstances occurring after the date of this press release.
Contact:
IBAC Corporation
Investor Relations, 718-891-8188
Fax: 775-320-5437
ir@ibaccorp.com
www.ibaccorp.com
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Source: IBAC Corporation
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