Global Sells Stake in Rudy to Rudy
Cornerstone to the structure of the deal are provisions that will improve Global Beverage's balance sheet should Rudy Partners, Ltd. becomes a publicly traded company or the subsidiary of a publicly traded company. Global Beverage will own 20% of the new public entity which could be used to dividend shares to GBVS shareholders of record.
Jerry Pearring, CEO of Global Beverage commented, "Rudy Beverage has a tremendous future ahead and we are confident it can become one of the great beverage companies in the functional sports and children's beverages categories. Should RBI move into its own publicly traded vehicle we anticipate it may garner an even greater valuation for our balance sheet assets, provide us liquidity and possibly create an opportunity to dividend additional shares to our shareholders. The net result could provide GBVS shareholders with equity in both entities."
Daniel "Rudy" Ruettiger, Founder and CEO of Rudy Partners, Ltd., also commented, "We believe that the new resources made available to us from Rudy Partners will allow our line of products to be brought to market in the most effective manner. When we complete our return to the public markets, Rudy Beverage should transparently report accelerating sales and distribution growth which we expect will garner burgeoning confidence from investors and help to fairly value our business and Global Beverage's balance sheet assets, which will ultimately be mutually beneficial to both GBVS shareholders and our company. We are very pleased to have completed this transaction and commencing with our continued roll out of Rudy Beverage to schools, retail and wholesale stores nationwide."
From the May 23, 2007, Prepared Foods e-Flash