- Offer to purchase a 92,000 square foot building near BarTech (USA)
accepted and another production line to be added
- Strategic location will also serve as the main US distribution centre
for Ranaz products
MONTREAL, Aug. 11 /CNW Telbec/ - Ranaz Corporation ("Ranaz")
(TSX-V: RNZ), a company specialized in the manufacturing and marketing of
protein and dietary supplements, announces that its offer to purchase a
building has been accepted. The 92,000 square foot building occupies a
575,000 square foot lot near the facilities of BarTech (USA) in Michigan.
This acquisition will enable Ranaz to triple its production of
nutritional bars in the near term thanks to the addition of a more efficient
production line that will allow over 90 million bars to be produced annually.
The building can accommodate another three production lines for a total
capacity of 250 million bars.
"BarTech's current facilities are presently operating at maximum
capacity," said Jean Bourassa-Marineau, President and Founder of Ranaz. "With
this acquisition, we will soon be in a position to respond to the growing
demand in the private brand segment and transfer production of our own bars to
this new plant, generating substantial economies of scale. We plan to install
the production line in the fourth quarter of 2008 so as to be fully
operational as of the first quarter of 2009."
The Company will also use the new facility as its main center for
distribution of its products to the US market. "This acquisition has many
advantages, including its strategic location enabling us to distribute our
products more efficiently and at a lower cost, access to a large pool of
qualified manpower, the potential for expanding the current facility to over
280,000 square feet and the building's purchase price. These factors will all
serve to make us more competitive in both the short and the long term," added
The cost of the building was $2.5 million and will be financed by a
commercial mortgage. The transaction is subject to the usual due diligence and
the securing of the required financing. The Company expects to close the
transaction within the next 90 days.
About Ranaz Corporation
Ranaz is a corporation specializing in the manufacture and marketing of
protein and dietary supplements. Its mission is to design, develop and market
nutritional, protein and dietary supplements under its own corporate brands
and concepts, such as Protidiet and ProtiLife, as well as under private
labels. For more information about the Company, please visit our website at
Certain statements contained in this news release, other than statements
of fact that are independently verifiable at the date hereof, may constitute
forward-looking statements. Such statements, based as they are on the current
expectations of management, inherently involve numerous risks and
uncertainties, known and unknown, many of which are beyond Ranaz's control.
Such risks include but are not limited to: the impact of general economic
conditions, changes in the regulatory environment in the jurisdictions in
which Ranaz does business, stock markets volatility, fluctuations in costs,
and changes to the competitive environment due to consolidation, as well as
other risks disclosed in public filings of Ranaz. Consequently, actual future
results may differ materially from the anticipated results expressed in the
forward-looking statements. The reader should not place undue reliance, if
any, on the forward-looking statements included in this news release. These
statements speak only as of the date made and Ranaz is under no obligation and
disavows any intention to update or revise such statements as a result of any
event, circumstances or otherwise.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
For further information:
For further information: Ranaz Corporation: Martin Vidal, Executive Vice
President and Chief Financial Officer, (450) 491-7106, Ext. 213,
firstname.lastname@example.org; SOLAK Communications: François Kalos, President,
(450) 993-0828, email@example.com; Media: Impact Communication: Carlo Tarini,
President, (514) 916-2436, firstname.lastname@example.org