Winsonic Digital Media Group announced Wednesday, Nov. 28, that Winsonic McCrary — a newly-created Georgia limited liability company and wholly-owned subsidiary of Winsonic Diversity — on Nov. 20 entered into an asset purchase agreement with Colonel McCrary Trucking, a Georgia limited liability company, and all of the members of Colonel McCrary.
“Historically, Colonel McCrary’s business model involved relatively fair margins unique to the trucking industry,” says Winston Johnson, chairman and chief executive officer of Atlanta-based Winsonic Digital Media Group. “We expect that utilizing network integration and asset redeployment in a diversity setting will provide Winsonic McCrary with greater efficiencies, as well as expanded opportunities for revenue growth and operating margins.”
Pursuant to the asset purchase agreement, Colonel McCrary will sell substantially all of its assets to Winsonic McCrary. The aggregate purchase price for the assets to be acquired from Colonel McCrary will be 4,287,490 restricted shares of the Winsonic Digital Media Group’s common stock. In addition, as further consideration for the transaction, Winsonic McCrary will assume and discharge certain liabilities and indebtedness of Colonel McCrary.
The asset purchase agreement includes representations, covenants and indemnification obligations customary for transactions of this nature. The closing of the transaction will occur following the satisfaction of certain conditions specified in the asset purchase agreement. Terms were not announced.
In connection with the closing, the members of Winsonic Diversity will make capital contributions to Winsonic Diversity of a sufficient number of shares of the Winsonic Digital Media Group’s common stock to enable Winsonic McCrary to pay the purchase price at closing.
“We believe that certain of the assets which will be acquired from Colonel McCrary will significantly enhance our contract fulfillment capabilities and to finance certain receivables associated with existing contracts at Winsonic Diversity,” Johnson says.
Winsonic Digital Media Group is a facilities-based communications, media distribution, construction and technology solutions company that historically has focused on distributing digital content to the public and providing high-speed, high-quality, low-cost solutions that enable users to view, interact and listen to all types of audio, online video and digital TV in full-screen format.
