Titan Global Holdings Unveils Strategic Acquisition Plan for Titan Global Energy...
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Titan Global Holdings Unveils Strategic Acquisition Plan for Titan Global Energy Group Division
Current Energy Economy Opening Significant Opportunities for
Expansion of Petroleum Distribution Network
DALLAS--(Business Wire)--
Titan Global Holdings, Inc. ("Titan") (Pink Sheets: TTGL), a
high-growth diversified holding company, today announced the launch of
Titan Global Energy Group's acquisition plan in the petroleum
distribution market segment. The plan is intended to capitalize on
macro economic factors driving up the price of petroleum, as well as
placing a financial strain on current petroleum distributors.
"We formed Titan Global Energy Group eleven months ago to
capitalize on the dynamic and often lucrative energy sector," said
Bryan Chance, President and Chief Executive Officer of Titan Global
Holdings. "We have successfully completed and integrated our
acquisition of Appalachian Oil Company ("Appco"), a leading petroleum
distribution company in the Southeastern United States. Leveraging
Appco's scale and management team expertise, and macro economic energy
factors, we are poised to 'roll-up' petroleum distribution companies
of various sizes and types in our adjacent markets."
Appco generated more than $400 Million in annual revenues in
fiscal year 2007. Today, Appco distributes petroleum products to more
than 160 dealers and owns and operates 56 convenience store locations.
Appco has more than 550 employees and maintains long standing
partnerships with strategic terminal operators and major oil
companies.
Mr. Chance outlined the following macro economic energy factors
contributing to Titan Energy Group's acquisition plan:
-- West Texas intermediate crude spot prices averaged $66 and $72
per barrel in 2006 and 2007, respectively. The Current spot
price for West Texas Intermediate Crude Oil is over $120 per
barrel.
-- The rising prices for crude oil in 2008 will result in higher
prices for all petroleum products. Regular-grade gasoline is
approaching $4 per gallon in 2008 in most markets, or $1.19
above the 2007 annual average price.
-- World oil consumption is projected to grow by 1.2 million
barrels per day (bbl/d) in 2008. As a result of the economic
slowdown and higher petroleum prices, United States
consumption of liquid fuels and other petroleum is expected to
decline by approximately 190,000 bbl/d in 2008.(1)
"The continued rising cost of petroleum products is straining and
increasing the amount of working capital necessary to operate retail
and wholesale petroleum operations," said Marty Anderson, President of
Appalachian Oil Company. "While the consumers carry an increased
burden for these rising costs of petroleum, small to intermediate
sized independent distributors and operators of petroleum at retail
and wholesale locations are experiencing great financial strain. We
are in discussions with a number of such parties involving acquisition
plans that would provide a significant gain for the Company, including
for their ownership groups while providing Appco with a synergistic
growth proposition. Appco has and will leverage its scale and
relationships with major petroleum suppliers."
"Titan will continue to pursue sound organic and strategic
transactions that add shareholder value," said David Marks, Chairman
of Titan Global Holdings, Inc. "The timing and nature of this plan
makes sense for Appco and, additionally, provides a robust channel for
our corporate focus and planned growth in the production and
distribution of biofuels."
(1)Source: Energy Information Association, United States
Government
About Titan Global Holdings
Titan Global Holdings is a diversified holding company with a
dynamic portfolio of subsidiaries spanning international
telecommunications, electronics and homeland security, consumer
products and energy resources and distribution.
Titan's operating divisions include the following:
The Titan Global Energy Division owns and operates traditional and
next-generation renewable energy and fuel assets that can provide
significant opportunities for growth in one of the world's largest and
most critical markets.
Titan's Communications Division serves the communication needs of
those individuals that have emigrated from their host country to the
United States or other countries and plans to addresses a range of
high-growth markets in the international telecommunication segments,
including communication technology, platform management, international
wholesale communication and the distribution of prepaid international
telecommunication products.
Titan Global Brands designs, develops, and distributes consumer
products from value categories to high end branded categories, through
its existing distribution channels and new ones suitable for such
products. Together, it integrates, protects and expands its consumer
brand management capabilities to leverage and optimize growth across
Titan's worldwide distribution channels.
Titan Card Services plans to capitalize on the burgeoning
multibillion-dollar international prepaid money transfer sector. Titan
Card Services' proprietary technology provides for convenient and
efficient international money transfers.
Titan's Electronics and Homeland Security Division includes Titan
PCB East, Inc., Titan Electronics Inc., and NEO EMS, Inc. These
companies specialize in the manufacture of advanced circuit boards and
other electronic products for classified military and defense
department customers, and other high-tech clients.
For more information, please visit: www.titanglobalholdings.com.
For investor-specific information and resources, visit
http://www.trilogy-capital.com/tcp/titan/ or
http://www.b2i.us/irpass.asp?BzID=1314&to=ea&s=0.
To view current news, visit
http://www.trilogy-capital.com/tcp/titan/quote.html. To view an
investor fact sheet about the company, visit
http://www.trilogy-capital.com/tcp/titan/factsheet.html.
Forward-Looking Statements
Safe Harbor Statement Under the Private Securities Litigation
Reform Act of 1995 -- With the exception of historical information,
the matters discussed in this press release are forward-looking
statements that involve a number of risks and uncertainties. The
actual future results of TTGL could differ significantly from those
statements. Factors that could cause actual results to differ
materially include risks and uncertainties such as the inability to
finance the company's operations or expansion, inability to hire and
retain qualified personnel, changes in the general economic climate,
including rising interest rates and unanticipated events such as
terrorist activities. In some cases, you can identify forward-looking
statements by terminology such as "may," "will," "should," "expect,"
"plan," "anticipate," "believe," "estimate," "predict," "potential" or
"continue," the negative of such terms, or other comparable
terminology. These statements are only predictions. Although we
believe that the expectations reflected in the forward-looking
statements are reasonable, such statements should not be regarded as a
representation by the Company, or any other person, that such
forward-looking statements will be achieved. We undertake no duty to
update any of the forward-looking statements, whether as a result of
new information, future events or otherwise. In light of the
foregoing, readers are cautioned not to place undue reliance on such
forward-looking statements. For further risk factors see the risk
factors associated with our Company, review our SEC filings.
Trilogy Capital Partners
Financial Communications:
Ryon Harms, Toll-free: 800-592-6067
info@trilogy-capital.com
Copyright Business Wire 2008
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