Blue Vista Enters into Letter of Intent
06 November 2009 - 8:18AM
Marketwired
Blue Vista Technologies Inc. (NEX BOARD: BV.H) (the "Company" or
"Blue Vista") Blue Vista is pleased to announce that the Company
has entered into a Letter of Intent (LOI) dated October 27, 2009
with SKA International Inc. ("SKA"), whereby Blue Vista would,
subject to a number of conditions, acquire all of the issued and
outstanding securities of SKA. SKA is Canadian company which has
signed a Joint Venture Agreement (JV) with China Shandong LuKe
Group Company (Shandong LuKe), a call centre and Value Added
Services (VAS) provider servicing the Chinese market based in Jinan
City, Shandong Province, PRC. The LOI will allow Blue Vista the
opportunity to perform due diligence on the SKA joint venture with
objective of preparing a Formal Agreement. Should the Formal
Agreement be consummated the ensuing transaction would result in a
change of business ("COB") or reverse takeover ("RTO") and the
Company's reactivation and graduation from the NEX to the TSX
Venture Exchange.
The Joint Venture company formed by SKA and Shandong LuKe is:
Shandong Mei Long Sci-Tech Co. Ltd. By the terms of the JV
agreement, SKA International will be a 49 per cent partner and
Shandong Luke Group will own the remaining 51 percent of the newly
formed JV. SKA is to provide financing for the new JV and Shandong
LuKe will provide its operating assets. Shandong LuKe will transfer
all of its revenue generating assets to the new JV.
Shandong Luke is a telecommunications service company that has
been in operation since 1992 and has approximately 2,000 employees.
It operates in-coming and out-going call centres in the cities of
Jinan and Tai'an. The company is a well established and profitable
call centre and value added service provider to the major telecom
companies in China including China Mobile and China Telecom, the
largest telecom provider in the world. Shandong LuKe's business
relationship with China Telecom makes Shandong LuKe a dominate
player in the industry.
More information on the JV will become available as the company
proceeds with its due diligence review. The company also intends to
raise funds through a private placement in connection with its
review of SKA, terms to be determined.
Completion of the transactions is subject to a number of
conditions, including Exchange acceptance and disinterested
shareholder approval. The transactions cannot close until the
required shareholder approval is obtained. There can be no
assurance that the transactions will be completed as proposed or at
all.
Investors are cautioned that, except as disclosed in the
Management Information Circular and/or Filing Statement to be
prepared in connection with the transactions, any information
released or received with respect to the COB or RTO may not be
accurate or complete and should not be relied upon. Trading in the
securities of Blue Vista should be considered highly
speculative.
Forward-Looking Information
This release includes certain statements that may be deemed
"forward-looking statements". All statements in this release, other
than statements of historical facts, that address events or
developments that Blue Vista Technologies Inc. (the "Company")
expects to occur, are forward-looking statements. Forward-looking
statements are statements that are not historical facts and are
generally, but not always, identified by the words "expects",
"plans", "anticipates", "believes", "intends", "estimates",
"projects", "potential" and similar expressions, or that events or
conditions "will", "would", "may", "could" or "should" occur.
Although the Company believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions,
such statements are not guarantees of future performance and actual
results may differ materially from those in the forward-looking
statements. Factors that could cause the actual results to differ
materially from those in forward-looking statements include market
prices, exploitation and exploration successes, and continued
availability of capital and financing, and general economic, market
or business conditions. Investors are cautioned that any such
statements are not guarantees of future performance and actual
results or developments may differ materially from those projected
in the forward-looking statements. Forward-looking statements are
based on the beliefs, estimates and opinions of the Company's
management on the date the statements are made. The Company
undertakes no obligation to update these forward-looking statements
in the event that management's beliefs, estimates or opinions, or
other factors, should change.
Shares Outstanding: 3,905,695
Neither the NEX nor the TSX Venture Exchange have in any way
passed upon the merits of the proposed transaction and have neither
approved nor disapproved the contents of this press release.
Contacts: Blue Vista Technologies Inc. Mr. Alex Falconer
President (416) 862-8243 (416) 862-7214 (FAX)
(TSXV:BV.H)
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