Under the terms of the agreement, the sole shareholder of ALS would receive cash consideration of approximately $1.1 million, 260,000 shares of Nexxus Lighting's Common Stock, and based upon certain future earn-out formulations, up to an aggregate of approximately 425,000 additional shares of Nexxus Lighting's Common Stock.
Paul Streitz, the president and sole shareholder of ALS, is expected to remain as president of the new, wholly-owned Nexxus Lighting subsidiary.
"We believe that Advanced Lighting Systems has significant opportunities for growth," stated Mike Bauer, president/CEO of Nexxus Lighting. "The merger is expected not only to expand the breadth of our products offered in the solid-state LED and fibre optic markets, but also to expand our market coverage in the entertainment lighting arena where previously we had very little presence."
"We believe that Nexxus Lighting has created an exciting business model and everyone at Advanced Lighting Systems is excited at the prospect of becoming a part of the Nexxus Lighting team," stated Paul Streitz, president of Advanced Lighting Systems. "Advanced Lighting Systems is experiencing growth and we believe there are opportunities to increase the rate of that growth in the solid-state LED lighting market. We believe that Nexxus Lighting will provide ALS with a solid foundation and the resources to take advantage of those opportunities."
(Jim Evans)
