CALGARY, Alberta, Oct. 29, 2010 (GLOBE NEWSWIRE) -- The PLANET BOTTLE Corporation, a publicly-traded company that trades under the symbol (OTCBB:IMGM) (TPBC) has signed an agreement to acquire through its wholly-owned subsidiary Worldwide Franchise Group, the Canadian Master Franchise License of SIGN*A*RAMA ("SAR") from its owner, United Franchise Group ("UFG") of West Palm Beach, Florida. As part of the transaction, (which excludes Quebec in all cases) WWFG will acquire the existing franchise agreements with the Canadian franchisees and obtain the right to develop and operate future SIGN*A*RAMA sign centers in Canada and to grow the SAR brand by way of new franchise sales and internal organic growth. WWFG has developed a plan to grow the SAR network from its current 34 franchised store base to approximately 100 stores in Canada by 2016.
The acquisition of the Canadian operation was consummated for a currently undisclosed purchase price. The Canadian operation gives WWFG control of approximately $10 million of annualized revenue at the franchise level and significant positive cash flow at the WWFG level. TPBC is pursuing funding through issuance of a series of (US) $1.2 million in promissory notes with a warrant equity kicker through an exempt market dealer, Sterling Grace & Co (Canada) (416-231-0776) of Toronto.
Patrick Rooney, CEO of The PLANET BOTTLE stated, "The acquisition of the Canadian SIGN*A*RAMA operations provides the PLANET BOTTLE will significant cash flow and a management team that will provide depth to our talent pool dedicated to accelerate the biodegradation of plastic. There are signs everywhere and the sign business has proven to grow even in periods of recession. Commercial signs are 25% made of plastics. We plan to be a leader in promoting the use of signage made from recycled plastic. There are 400 billion PET (polyethylene terephthalate) plastic bottles filled each year, only 100 billion get recycled. Some of these bottles will build our signs, the other 300 billion we hope to make oxo-biodegradable over a period of 10 to 20 years versus 400 years to forever in a landfill or the environment."
JR Richardson, President of WWFG stated "The acquisition of the SAR's Canadian operations and brand supported by our partnership with UFG, a $500 million revenue-based franchisor of multiple concepts globally, will support our vision to become Canada's pre-eminent franchise services company. We look forward to growing WWFG into a multiple brand owner and developer of unique franchisable concepts while aggressively supporting the needs of the existing and future Canadian SAR franchisees."
For more information on WWFG, contact Sandi Gilbert, VP Media and Marketing at sandi.gilbert@worldwidefranchisegroup.com.
For an update on its activities on becoming the GREENEST bottle on the Planet please visit www.theplanetbottle.net. Or follow us on twitter @theplanetbottle. Or contact Patrick Rooney, CEO by e-mail at prooney@rogers.blackberry.net and he will return your call.