VENTURA, Calif., March 23, 2010 (GLOBE NEWSWIRE) -- SGD Holdings, Ltd. (Pink Sheets:SGDH) announced today it has entered into a Letter of Intent ("LOI") to acquire a 100% interest in EcoFriends, a Mexico-based paper company. Year to date, starting January 1, 2010, EcoFriends has generated nearly $2M in revenues.
Under this LOI, SGD Holdings, Ltd. intends to purchase the company in a restricted share transaction. EcoFriends will become distributors of the EcoPaper brand and its various paper products. EcoFriends currently has distribution lines into Soriana, City Club, Chedraui, Waldo's, Sears, and many other office supply retailers and wholesalers. EcoFriends is to be renamed as EcoPaper Mexico, Inc. and would be the second subsidiary of SGD Holdings, Ltd., along with EcoPaper, Inc.
Both parties are finalizing details and SGD Holdings, Ltd. expects to close this transaction by April 22, 2010. A press release will follow upon finalization.
About EcoPaper, Inc.
EcoPaper, Inc. is the first company in the history of the paper industry to create and market treeless paper of a superior quality. Every page of EcoPaper is smooth, acid-free, durable, chemical-free, and made in Costa Rica. EcoPaper, Inc. has developed an innovative and economically feasible option for the potential removal of 230,000 tons of agro-industrial waste that are dumped yearly in Costa Rica alone. The company's challenge is to invent new processes and create paper for consumers in new textures and tones, using waste materials from exotic tropical fibers. The results of processing these exotic tropical fibers are items that both appeal to the consumer and positively impact the environment.
About SGD Holdings, Ltd.
SGD Holdings, Ltd. is a holding company which owns and operates through its wholly-owned subsidiary, EcoPaper, Inc. (http://www.ecopaper.com/). Its goal is to acquire new technologies which can positively impact the environment either through internal development or by acquisition.
About EcoFriends
EcoFriends is currently a private paper sales and distribution company based in Mexico.
Forward-Looking Statement: The statements in the press release that relate to the Company's expectations with regard to the future impact on the Company's results from acquisitions or actions in development, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements in this document may also contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those contained in such statements. Such risks, uncertainties, and factors include, but are not limited to, future capital needs, changes and delays in plans and schedules, or market acceptance. SGD Holdings, Ltd. undertakes no duty to update these forward-looking statements.