Jul 25, 2008 7:00:00 AM
FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--
247MGI, Inc. (Pink Sheets:TOFS) ("247MGI") new management and Board of Directors have decided to amend the company's charter to become a Business Development Company as so defined by the SEC. The change to the charter will coincide with the filing of all the delinquent financial reports.
The incoming management has had success operating public companies and therefore wishes to acquire companies looking to go public as wholly owned subsidiaries and oversee them until they are ready to be spun off as their own separate public companies.
When a company is spun off, 247MGI will retain a portion of the company, of which 75% of what 247MGI receives shall be issued as dividends to its shareholders, the balance will be held by the Company.
The new Management has identified three companies to become wholly owned subsidiaries once the amendment is complete. One company is in the medical product business and has a product that is patented and FDA approved. Another company is in the plastic injection molding business; this company shall be run by an individual who owned and operated a very successful business utilizing a 125,000 square foot facility before it was sold. Another company is in the hard money lending business for real estate; this company also has solid management and its President has over two decades of banking experience including overseeing numerous branches for a major bank.
247MGI will continue to expand and operate its media division, as the Company acquires new companies and spins others off, these will all become long term clients of its media division.