Co-venture Initiative is off to an exciting start in a spectacular location
WINNIPEG, Manitoba, July 02, 2019 (GLOBE NEWSWIRE) -- Empire Industries Ltd. (EIL.V) (“Empire”, “EIL” or the “Company”) is pleased to announce the following developments in the previously announced Tennessee Flying Theater co-venture:
- A long term operating agreement has been signed between Island Flyers LLC and High Express Holdings (US) Inc. for the development and operation of the co-venture flying theater attraction in The Island at Pigeon Forge, in the Smoky Mountains of Tennessee. The operating agreement requires an equal investment from each of the co-venture partners totaling US$4 million into the single purpose co-venture entity known as Smoky Mountain Flyers, LLC.
- Smoky Mountain Flyers, LLC closed an US$11 million debt financing with a Tennessee Bank which completes the financing required to bring the attraction to market.
- Dynamic Entertainment Group Ltd. (“DEGL”), a 74% owned subsidiary of Empire, has entered into a pure option agreement (the “Option”) with a term of 30 months to purchase all of the shares of High Express Holdings (US) Inc. which is one of the two co-venture partners that owns 50% of Smoky Mountain Flyers, LLC.
- Smoky Mountain Flyers, LLC has contracted Dynamic Attractions Ltd., a wholly owned subsidiary of Empire, to provide a 39 seat, patented flying theater attraction.
- The opening date of the Smoky Mountain Flying Theatre is scheduled for March 2021.
“We are very excited about the co-venture project in the Smoky Mountains region of Tennessee,” said Guy Nelson, Executive Chairman and Chief Executive Officer of Empire. “The Island in Pigeon Forge has been ranked as the sixth most popular theme park in the US. Island Flyers, LLC, the co-venture local partner, is an experienced attraction operator and their expertise dovetails perfectly with Dynamic’s provision of a world class attraction at this world-class site. The Option agreement positions DEGL to step into an equal partnership role in the co-venture partnership at the appropriate time. This is the first exciting step for our new co-venture model – a model intended to provide Empire with long-term, stable, recurring revenue. We expect to execute on more partnerships with best-in-class tourist sites in the months and years ahead.”
About Empire Industries Ltd.
Empire focuses on designing, supplying, and installing iconic media-based attractions and ride systems for the global theme park industry. Empire also uses these same turn-key integration services for special projects such as large optical telescopes and enclosures. Empire also has commenced an initiative to leverage its world class flying theater and attraction development capability on a co-venture ownership basis. Empire’s common shares are listed on the TSX Venture Exchange under the symbol EIL.
For more information about the Company, visit empind.com or contact:
|Guy Nelson |
Chief Executive Officer
Phone: (416) 366-7977
|Allan Francis |
Vice President – Corporate Affairs and Administration
Phone: (204) 589-9301
This news release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Empire’s business and affairs. In certain cases, forward-looking statements can be identified by the use of words such as ‘‘plans’’, ‘‘expects’’ or ‘‘does not expect’’, ‘‘budget’’, “booked”, ‘‘scheduled’’, “positions”, ‘‘estimates’’, “forecasts’’, ‘‘intends’’, ‘‘anticipates’’, “believes” or variations of such words and phrases or state that certain actions, events or results ‘‘may’’, “may be”, ‘‘could’’, “should”, ‘‘would’’, ‘‘might’’ or ‘‘will’’, ‘‘occur’’ or ‘‘be achieved’’. Such statements include statements with respect to: (i) the scheduled opening date of the Tennessee Flying Theatre; (ii) the positioning of Empire to become an equal partner in the co-venture through the Option; (iii) the implied assumption that Empire’s will have the capital resources necessary to exercise the Option and (iv) the intended result of the co-venture model to provide Empire with long-term, stable and recurring revenue. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although Empire believes these statements to be reasonable, no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. Actual results could differ materially from those anticipated in these forward-looking statements as a result of prevailing economic conditions, and other factors, many of which are beyond the control of Empire. The forward-looking statements contained in this news release represent Empire’s expectations as of the date hereof, and are subject to change after such date. Empire disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.