FORT LAUDERDALE, Fla., April 28, 2014 /PRNewswire/ -- PayMeOn, Inc. (OTC-QB: PAYM) today announced that it had entered into a letter of intent to acquire a 19.5% stake in Prodeco Technologies, LLC, one of the most innovative manufacturers in the growing e-bike industry. Prodeco incorporates superior design, craftsmanship and progressive technology in all its e-bike models. The Company's "Made in the USA" manufacturing is headquartered in Oakland Park, Florida, where it employs approximately 60 people and maintains its 60,000 square foot manufacturing facility.
According to Ed Cespedes, CEO of PayMeOn, "when you see the Prodeco bikes for the first time you're idea of electric bikes is immediately transformed. The quality of their products is obvious and their design, look and feel blows you away."
A recent independent review by the site www.teslarati.com, a site that describes itself as a publication created exclusively for and about the Tesla community that features content around Tesla Motors, interesting Tesla aftermarket accessories and upgrades, gear, and clean technology that exemplify the spirit of what the Teslarati brand represents, published the following:
"Sleek, sexy, powerful, silent, exhilarating, and manufactured in the USA! Kind of sounds like a Tesla Model S, doesn't it? Well, close. If a Tesla can ever reincarnate, we think it would surely come back in the form of a revolutionary Prodeco Technologies folding electric bike." (see entire review here: http://www.teslarati.com/prodeco-tech-outfits-tesla-model-s-with-folding-electric-bike/#Howqm8IfitrExHIM.99.)
Mr. Cespedes continued, "Prodeco's products are available in approximately 100 retail locations around the United States and are also sold online at Amazon.com. We believe that we can help further accelerate their already impressive growth in sales by using our marketing platform to reach even more people. Whenever it makes sense, we will aim to take a stake in partner companies to participate in some of the value we help to create."
PayMeOn will issue up to 2,941,176 restricted shares of its common stock to two privately held companies in exchange for 19.5% of Prodeco Technologies, LLC's membership units. Additionally, PayMeOn is currently in discussions with one of the entities about the potential acquisition of certain of Prodeco's senior debt in exchange for additional PayMeOn shares. One of the entities is affiliated with PayMeOn's largest shareholder.
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.
See Prodeco's state of the art manufacturing facility here: http://prodecotech.com/videos/
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Follow PayMeOn's CEO on Twitter: @eacmanagement
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 contemplated in this press release may not close), 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. Potential investors in PayMeOn should review PayMeOn's public filings prior to any investment.
PayMeOn, Inc.'s largest shareholder is a member of one of the parties to the transaction described above.
SOURCE PayMeOn, Inc.