Agoracom Blog

QE2 Acquisition Corp. Announces Letter Of Intent To Acquire Accredited Electrical Contractor In Edmonton, Alberta

Posted by AGORACOM-JC at 10:12 AM on Wednesday, December 3rd, 2014

CALGARY, ALBERTA / December 3rd, 2014 / QE2 Acquisition Corp. (“QE2” or the “Corporation”) (TSX VENTURE:QE) is pleased to announce that it has signed a letter of intent to acquire a privately-owned accredited electrical contractor (the “Acquisition Target”) located in the Edmonton area of Alberta (the “Transaction”). The purchase price will be based on the Acquisition Target’s most recent financial statements. The acquisition will be funded by cash. The specific terms of the Transaction will be disclosed in a separate news release to follow in due course.

For more than 30 years, the Acquisition Target has developed an electrical services business that serves the industrial and utility markets including a combination of blue chip and government clients. The Acquisition Target specializes in medium and high voltage installations, commissioning and start up in industrial plants, heavy industrial refineries and utility stations. This acquisition complements QE2’s current operating subsidiaries in terms of its geographical footprint, expertise and expands QE2’s customer base. As part of the transaction, the owner of the Acquisition Target has agreed to enter into a three-year consulting agreement with the company.

QE2 expects to complete the Transaction in or about January 2015. This completion will be subject to the negotiation of a definitive share purchase agreement, board and regulatory approvals, satisfactory due diligence, customary closing conditions and the closing of a brokered financing, the terms of which will be disclosed at a later date.

“This acquisition helps QE2’s emergence as a consolidator within the infrastructure and utility service industry in Alberta,” states Mihalis ‘Mike’ Belantis, QE2’s CEO. “The Acquisition Target is owner-operated with a strong management team and staff in place. It has worked successfully with our first acquisition, Pillar Contracting Ltd. (“Pillar”), on multiple projects. In addition, the Acquisition Target has relationships with several customers that we currently do not service and which will therefore allow us to expand our scope.”

“This acquisition is an example of QE2 implementing its horizontal and vertical integration strategy. We expect the Acquisition Target to share operations and key management with Pillar,” states Rob Harding, QE2’s CFO. “Alberta continues to outperform much of North America in terms of its year on year economic growth and there are multiple catalysts on the horizon to ensure that continues. Our current operating subsidiaries directly benefit from capital and maintenance spending on infrastructure and utilities. We are confident that the Acquisition Target offers similar potential, and will create immediate and accretive benefits for our business.”

About QE2 Acquisition Corp. (

QE2 is a forward thinking, Alberta-founded firm that acquires and grows well-managed, profitable, asset-backed, Alberta-based businesses in the infrastructure and utility service sectors. QE2’s growth strategy is a mergers and acquisitions program which leverages the synergies that can be achieved by vertical and horizontal integration. For further information, please contact Mihalis Belantis, CEO and Director, #4034, 909 – 17th Avenue SW, Calgary, Alberta, T2T 0A4, Tel: (403) 478-0055, Fax: (403) 770-8468, Email: [email protected].

Cautionary Statements

Statements in this press release may contain forward-looking information including without limitation, statements pertaining to the closing of the Transaction and obtaining necessary approvals. The words “will,” “anticipate,” believe,” “estimate,” “expect,” “intent,” “may,” “project,” “should,” and similar expressions are intended to be among the statements that identify forward-looking statements. The forward-looking statements are founded on the basis of expectations and assumptions made by the Corporation. Readers are cautioned that assumption used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Corporation. The Corporation does not have any obligation to update or revise any forward-looking statements except as expressly required by applicable securities laws.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

The securities of QE2 have not been and will not be registered under the United States Securities Act of 1933, as amended and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirement. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Not for distribution to U.S. Newswire Services or for dissemination in the United States of America. Any failure to comply with this restriction may constitute a violation of U.S. Securities laws.

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