NEW YORK–Nov. 4, 199–silverzipper.com, Inc. (OTCBB:SZIP) announced today that it has entered into a letter of intent to acquire Serac Sports, Ltd. (Serac) a publicly traded Alberta, Canada corporation. The consideration was not disclosed but would approximate Serac’s recent trading price.
Founded in 1972, Serac is a manufacturer of skiwear, apparel and accessories with annual revenues exceeding $5 million. The transaction will be a combination of stock and cash and is scheduled to close before year-end. Serac’s branded products include outerwear, mountaineering, ski and snowboarding apparel, sleeping bags and back packs. Serac is one of the top ten most recognized ski apparel brands in the USA and has recently launched a European distribution effort.
silverzipper.com, Inc.’s strategy is to supply proprietary brands of fashionable, functional, high quality sport gear/accessories and lifestyle apparel direct to the consumer at factory direct prices via the Internet. In addition, the Company will maintain a traditional “Brick and Mortar” distribution for certain acquired brands. This acquisition is consistent with the silverzipper.com, Inc. business model of acquiring companies with synergies in the sports apparel/accessories and active wear industry which have the potential for internet-related sales. silverzipper.com, Inc. competes with other extreme sports apparel manufacturers such as Quicksilver, Inc (NYSE:ZQK), Columbia Sportswear (Nasdaq:COLM), The Northface (Nasdaq:TNFI), and Nautica Enterprises (Nasdaq:NAUT), Fila Holding SPA (NYSE:FLH), K2 (NYSE:KTO) and Nike Sports (NYSE:NIKE).
Paul E. Palmeri, Chairman, President and CEO of silverzipper.com, Inc. stated: “The acquisition of Serac represents another important step in our consolidation strategy.” He added, “not only is this acquisition consistent with our model, but it brings experienced and successful management in Bill McCabe, Serac’s CEO, and his team.”
“We love the duality of the `silverzipper’ model and believe that the economies of scale that are achievable will be invaluable in order to compete in today’s hyper-competitive environment of industry giants, internet media and e-commerce,” stated Bill McCabe.
This release contains forward-looking statements. These statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements. Readers should not place undue reliance on forward-looking statements, which reflect management’s view only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. Readers should carefully review the risk factors described in documents the Company files from time to time with the Securities and Exchange Commission.
Richard Ginsberg, 954/453-6200