CALGARY, Nov. 20, 2015 /CNW/ - Circa Enterprises Inc. (CTO-TSXV) ("Circa"), a manufacturer of equipment for the telecommunication, electrical utility, and construction industries, announced today that it has entered into a definitive agreement to acquire substantially all of the assets of Alberta Computer Cable Inc. ("ACC"), a cable manufacturer and distributor. The agreement was signed November 20, 2015 and is effective on December 1, 2015. Upon completion of the acquisition, the business will operate as Alberta Computer Cable, a division of Circa Enterprises Inc.
"The Alberta Computer Cable acquisition will extend our technology solutions to a broader market while strengthening our OEM and custom manufacturing capabilities" said James Waddock, Senior VP of Circa. Mr. Waddock added, "This acquisition represents a natural and highly complementary fit with our existing portfolio and is an important step in our ongoing growth strategy to expand our product range."
The cash transaction is expected to close in the fourth quarter of 2015 and remains subject to standard closing conditions. Funding for the transaction is from existing resources and is expected to be accretive in the second quarter of 2016 when the operations of ACC will be relocated to Circa's facilities in Calgary, Alberta.
About Circa Enterprises
Circa Enterprises Inc. is a public company headquartered in Calgary, Alberta with operations in Alberta, Ontario and Florida. Circa manufactures and sells outdoor enclosures, electrical equipment, and other goods to customers in the telecommunications, electrical, and construction industries. The outstanding common shares of Circa are listed and trade on the TSX Venture Exchange under the trading symbol CTO. 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.
About Alberta Computer Cable
Operating since 1985, Alberta Computer Cable distributes digital connectivity products and specializes in custom cables and wiring harnesses for Original Equipment Manufacturers (OEM).
Forward Looking Statements
Certain information in this News Release may constitute "forward-looking" information that involves known and unknown risks, uncertainties, future expectations and other factors which may cause the actual results, performance or achievements of the Company or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. When used in this News Release, this information may include words such as "anticipate", "estimate", "may", "will", "expect", "believe", "plan" and other terminology and specifically includes reference to the completion and timing of the referenced acquisition and the impact of such acquisition on the earnings of Circa. These statements are neither promises nor guarantees, but involve known and unknown risks and uncertainties and are based on both the views of management and assumptions that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activities, performance or achievements expressed in or implied by these forward looking statements. This information reflects current expectations regarding future events and operating performance and speaks only as of the date of this News Release. Except as required by law, we assume no obligation to update or revise forward-looking information to reflect new events or circumstances. Additional information is available in the Company's Management Discussion and Analysis, which can be found on SEDAR at www.sedar.com.
SOURCE Circa Enterprises Inc.
For further information: Mr. Grant Reeves, President and CEO, Circa Enterprises Inc., (403) 258-2011; Mr. Cory Tamagi, VP Finance and CFO, Circa Enterprises Inc., (403) 258-2011; E-Mail: firstname.lastname@example.org, Website: www.circaent.com