Raptor Investments, Inc. (RAPT, Trade) today announced its projected timetable for the completion of its first acquisition pursuant to the company's announcement on Monday, May 23rd that it was terminating its LOI to acquire Micro-Connections, Inc. and simultaneously shifting its strategy into the eBay drop store, retail thrift, business liquidations, and self-auction businesses. Jamie DeSane, acting CEO of Raptor, commented, "This has been in the works for quite a while, actually. Due Diligence we conducted on Micro-Connections revealed IP that might not be worth protecting, little potential for pricing power and a host of dependency issues."
Raptor Investments announced it has joined Las Vegas based Net2Auction Inc. (Pink Sheets:NAUC) and Dallas based Orbit Drop, Inc. (Pink Sheets:OBDP) in the eBay (EBAY, Trade) drop store business "but with some significant differences over our eBay reliant brethren," suggests DeSane. "We liked the prospects for the business but were worried about immediate viability as a stand-alone. Every financial model we put together suggested great potential in terms of operational scale and cash flows long-term, but way too many short-term hurdles. We view drop stores as a business that depends on attaining critical mass to be successful, requiring huge capital expenditures with uncertain profitability timetables." He added, "We felt that the franchise option wasn't an option for us because it traded larger long-term cash flows for smaller more immediate cash flows."
Instead, The Company has made a commitment to acquire existing 'bricks n clicks' auction companies with significant revenue history, both independently and through eBay, as well as existing local community consumer-focused 'thrift' store locations that will also serve as eBay drop locations and consignment intake centers. "Virtually every community has a retail thrift store that, depending on the size of the location, generates between $20,000 and $80,000 per month in retail sales," said DeSane. "The size of these stores as well as the revenue stream from retail 'thrift' sales will be the foundation of the Company's chain of eBay drop stores and other businesses." The Company is also targeting the business liquidation market from these locations, which is estimated to exceed $250 Billion a year in the United States.
DeSane remarked, "Over the past three to four weeks our acquisition teams and our acquisition candidates have been working feverishly to complete accretive, "win-win" type transactions for all existing stakeholders. We like the identified candidates because each possesses wholly unique business attributes in addition to tried and true customer, revenue and operating cash flows that fit the overall strategic and operating models exceedingly well. They like the strategic vision in the marriage of these businesses as a catalyst for significant future growth." He added, "At this stage, it looks like we should be able to announce the LOI on at least one acquisition in the next week or so."
Safe Harbor
This press release contains statements which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Raptor Investments, Inc., and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
SOURCE: Raptor Investments, Inc.
For Raptor Investments, Inc., Plantation Brass Bulls Corp. Investor Relations Marc Lovito, 866-342-2700
posted
gvmore is saying iam a blood sucker for posting this pick on bottom feeder wow what a bunch of bull ps i have a tip from a old friend for the am i will post it on bottom feeders dont miss it it should be a good one heheheheheh
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posted
This definitly has some potential. Check out RAPT's competitors in the Ebay drop location business. NAUC is trading at $2.17 and OBDP at $1.05.
DD this one and see what you think!
This news out today........
Raptor Investments Signs Binding Letter of Intent to Acquire Additional Thrift and eBay Drop Locations and Announces Definitive Closing Date on Previously Announced LOI
PLANTATION, Fla.--(BUSINESS WIRE)--June 7, 2005--Raptor Investments, Inc. (Pink Sheets:RAPT) announced today that it has signed a binding letter of intent with Thrifty Brothers, Inc. to acquire its thrift stores and eBay drop locations in both Clearwater, FL and Largo, FL. The LOI with Thrifty Brothers, a long standing community-focused thrift store, estate and corporate liquidator and power eBay (NASDAQ:EBAY) member, marks Raptor Investments' second acquisition since the company's announcement that it is joining Las Vegas, NV based Net2Auction Inc. (Pink Sheets:NAUC) and Dallas, TX based Orbit Drop, Inc. (Pink Sheets:OBDP) in the eBay drop store business. The Company also announced that the acquisition of Tampa, FL based EZ Auctions & Shipping is scheduled to close on June 20, 2005.
Jamie DeSane, acting CEO of Raptor commented: "We are very pleased by the cash flow generating businesses that we are in the process of consolidating for Raptor shareholders. Thrifty Brothers' existing stores serve as both eBay drop locations and community-based thrift stores while its warehouse facility, in addition to housing the estate and corporate liquidation business, will provide the centralized shipping, receiving and storage operations for our immediate global eBay drop store operations. These critical infrastructure components will enable us to serve local communities and scale our model to an international audience immediately, without hastily or haphazardly acquiring retail presence for the sake of growth alone. We believe this focus will help the Company provide the highest quality service, ensure reliable cash flows and maintain the essential 'human element' and community focus through careful and deliberate thrift store acquisitions into which we will overlay the eBay drop store business."
Thrifty Brothers, an estate and corporate liquidator, opened its first retail store front in the beginning of 2005 and has experienced average monthly revenue in excess of $20,000, with costs of good sold (COGS) as a percentage of sales of 12.5%. DeSane remarked, "The Thrifty Brothers business, while not yet fully mature in terms of the industry average monthly revenues of fifty to sixty thousand dollars, already possesses compelling profit margins, that when scaled significantly, will be even more impressive." He continued, "The thrift and liquidation business will provide a solid base with which to smooth and stabilize our monthly revenue recognition." DeSane concluded: "Our next acquisition, which we anticipate announcing within the next week, will add a final critical business component and a two year operating revenue base of over $8 Million. At that point our integration team will unify all operations under the new global brand, implement state-of-the-art inventory management, supply chain and CRM infrastructure and initiate the company name and symbol change."
Raptor Investments has scheduled the closing of the EZ Auctions & Shipping acquisition for Monday, June 20th, 2005. EZ Auctions & Shipping, Inc. has completed over 8,000 eBay transactions to date, representing more than twice the combined totals of rivals, Orbit Drop & Net2Auction. Market capitalizations for the three eBay drop store sector constituents suggest considerable disparity. Based on Monday's closing prices and available share data, Net2Auction has a market capitalization of $118.9 Million (based on 49,154,500 shares outstanding), Orbit Drop has a market capitalization of $226.8 Million (based on 202,550,000 shares outstanding) and Raptor Investments has a market capitalization of approximately $4.98 Million (based on 92,325,181 shares outstanding).
Safe Harbor
This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Raptor Investments, Inc., and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
CONTACT: For Raptor Investments, Inc., Plantation Brass Bulls Corp. Marc Lovito, 866-342-2700
posted
Holding in the low .06's today. Good chance it will jump over .10 soon with more news expected soon. I like this part of yesterday's news release:
(DeSane concluded: "Our next acquisition, which we anticipate announcing within the next week, will add a final critical business component and a two year operating revenue base of over $8 Million. At that point our integration team will unify all operations under the new global brand, implement state-of-the-art inventory management, supply chain and CRM infrastructure and initiate the company name and symbol change.")
posted
Another LOI, Company seems to be making a very agressive move into this sector. Lots of potential. IMHO.
Bob
RAPT RAPT RAPTOR INVESTMENTS INC Other OTC
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Raptor Invesments Signs Letter of Intent to Acquire Specialty Online Auction Company and eBay Titanium Power Seller
PLANTATION, Fla.--(BUSINESS WIRE)--June 14, 2005--Raptor Investments, Inc (Pink Sheets: RAPT) announced today that it has signed a letter of intent with HotAutoWeb to acquire the online specialty auction company and eBay Titanium Power Seller. Based in Boise, Idaho, HotAutoWeb has been operating through its principal internet property, www.HotAutoWeb.com, an auction site for high-end classic cars and 'hot rods', which also lists these autos on eBay. Since the company's birth in the last quarter of 2002, the HotAutoWeb property has completed approximately $9 Million in vehicle sales, generating in excess of $90,000 in EBITDA in 2004, while profits of approximately $150,000 are expected for FY 2005 amid continued strong growth.
Jamie DeSane, acting CEO of Raptor commented, "The acquisition of HotAutoWeb has significant implications for the future growth of the new company. We love the niche market focus, as the classic car market has shown solid and consistent growth over the past decade. In fact, the growth of the HotAutoWeb site has actually been constrained due to lack of adequate human resources, cohesive operating processes and capital. Simply stated, there is more business than the business can currently handle. Once unified under the new company identity with efficient business processes integrated, we believe we can grow consignment throughput and profits geometrically virtually overnight."
The www.HotAutoWeb.com property, which most recently received favorable press in the April 2005 issue of the popular luxury lifestyle magazine 'The Robb Report', currently has over $2.7 million in consignment inventory listed, with approximately $1.2 million in consignment listings on the eBay Motors website. Approximately $250,000 in consignment listings have been listed within the last week alone.
DeSane continued "The hidden value of HotAutoWeb lies in its 19 other niche internet auction properties in development that also have not been adequately addressed due to the lack of resources. As an example, HotAutoWeb currently has several million dollars worth of airplanes, boats and motorcycles listed on both the HotAutoWeb site and eBay due to the fact that the other niche sites, such as www.hotplaneweb.com and www.hotboatweb.com, have not yet been built. Numerous requests pour in daily to consign other high value items such as RV's and real estate."
The acquisition of HotAutoWeb represents Raptor Investments' third announced acquisition since the company's management committed to joining Las Vegas, NV based Net2Auction Inc. (Pink Sheets: NAUC - News) and Dallas, TX based Orbit Drop, Inc. (Pink Sheets: OBDP - News) in the burgeoning eBay (NASDAQ: EBAY - News) drop store industry.
Safe Harbor
This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Raptor Investments, Inc., and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
CONTACT: For Raptor Investments, Inc. Brass Bulls Corp. Marc Lovito, 954-340-2464 or www.HotAutoWeb.comBrian Hanold, 208-562-1700
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