FORT MYERS, Fla., Oct. 8, 2012 (GLOBE NEWSWIRE) -- Shades Holdings, Inc. (OTCQB:SHDH) ("Shades" or the "Company") today announced that on September 11, 2012, it acquired Suncoast Real Estate Owned Holdings, Inc. ("Suncoast"), a Florida corporation, which became a wholly owned subsidiary of Shades. Suncoast engages in the acquisition and disposition of distressed real estate utilizing televised and online auctions. In conjunction with the acquisition, Sean Lyons resigned as President and Chief Executive Officer of the Company, and Andy Garrett, Suncoast's CEO, became the President and Chief Executive Officer as well as a director of Shades.
Suncoast's business model consists of acquiring, refurbishing and upgrading existing properties and selling such properties through its auction networks. As a result of the acquisition, Suncoast transferred all of its issued and outstanding capital stock to the Company in exchange for 15.5 million shares of Shades' common stock. Shades' common stock currently trades on the OTCQB under the symbol "SHDH."
Mr. Garrett has over 15 years of real estate experience. Operating through an unaffiliated company, he completed the purchase, rehab, and sale of 251 homes via television auction during 2011 while maintaining an average profit margin of 27.1%.
According to the latest available data from the National Auctioneers Association, real estate auctions totaled approximately $17 billion in 2008 and are expected to account for up to one third of all real estate sold in the U.S. in the coming years. Suncoast intends to capitalize on this trend by maintaining a sustained marketing campaign to drive awareness to its auction program and promoting its "foreclosed/bank-owned homes" that have been improved to meet its planned standards.
"Becoming a publicly traded company marks an important milestone in the development of our business," stated Mr. Garrett. "According to the National Association of Realtors, auctions are the fastest-growing segment of the real estate industry. Our 'PropertyMax' standards set us apart from competitors by minimizing risk and increasing security for buyers. With our in-place business model, seasoned management team, and wide-reaching auction network, we are well-positioned to benefit from the strong demand for foreclosed and bank-owned homes."
About Shades Holdings, Inc.
Shades Holdings, Inc., through its wholly owned subsidiary Suncoast REO Holdings, Inc., engages in the acquisition and disposition of distressed real estate utilizing television and online auctions. The Company's business model is to acquire, improve, and sell single-family homes and vacant land.
The statements contained words that are not historical fact, including statements related to Company's future performance, are all "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, and that involve a number uncertainties. Actual results of the future events described in this document could differ materially. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.