IRVINE, Calif., Nov. 30, 2012 (GLOBE NEWSWIRE) -- Universal Bioenergy Inc., (OTCMarkets:UBRG.PK), a publicly traded independent diversified energy company, that markets and distributes natural gas, propane and coal, announced that it has hired a new law firm in Newport Beach, California to assist the Company in its efforts to up-list to NASDAQ or another major stock exchange. Plans also include raising additional capital for growth, expansion and new acquisitions in the Company's ongoing plans to build a $1.24 to $1.87 billion dollar energy company.
The Newport Beach law firm will be the principle law firm that will spearhead the efforts in coordination with the Company's other legal counsel, investment bankers, and auditors. The law firm specializes in corporate governance, securities law, corporate transactions and mergers and acquisitions.
Based on the Company's growth by mergers, acquisitions, revenues, and future plans for expansion, the Company is positioning itself to potentially qualify, and apply to up-list to a major national stock exchange, such as NASDAQ, or NYSE Amex Equities. The Company's senior management has been in discussions with several investment bankers, advisory firms and our securities counsel to meet the exchange requirements, legal issues involved, improving our capital structure, procedural guidelines and other related issues to qualify to be listed on one of the major national exchanges.
As required by NASDAQ, the company will also be expanding its Board of Directors and adding more members with backgrounds and experience in the energy industry, corporate finance, and investment banking. To meet the additional requirements of NASDAQ, the Company will be establishing an independent Audit Committee to oversee financial reporting and disclosure, a Nomination Committee to select qualified candidates for the Board Members, and develop corporate governance policies, and a Compensation Committee to assist in establishing compensation for executives, directors, and employee benefit plans and employee stock programs. The law firm will be preparing all of the required charters and other documentation to establish these independent committees.
Universal Bioenergy Company Profile
Sub-Industry: Oil, Gas and Coal Marketing and Distribution
Products: Petroleum, Natural Gas, Thermal Coal, Propane, Refined Petroleum Products and Electricity
Growth Profile: High Growth of 50% to 75% annually
Geography: National and International
Customers: 30 major electric utility customers nationwide
Subsidiaries: NDR Energy Group, - Texas Gulf Oil & Gas, - Whitesburg Friday Branch Mine
Reporting Status: Registered and fully reporting with the U.S. Securities and Exchange Commission
Company Highlights, Recent and Future Developments
- Seasoned management with Fortune 500 backgrounds and solid mergers and acquisitions experience
- Successful completion and integration of recent mergers and acquisitions
- Company plans to be up-listed to NASDAQ or NYSE/Amex/Equities in the next 6 to 9 months
- Plans to build a billion dollar company in the next 2 to 3 years through mergers and acquisitions
- Expanded into coal industry with acquisition of Whitesburg Friday Branch Mine, projected to produce $264 million in revenues over 5 years
- On September 25, 2012 we announced we received a $10 million credit line for natural gas purchases
- NDR Energy has applied for its FERC Power Marketers License to sell electric power
- Plans to acquire interests in intrastate and interstate natural gas transportation pipelines
- Plans for 5 to 7 acquisitions in the $10 to $15 million range, each with an EBITDA of $1 to $1.5 million each for total of $5 to $10.5 million annually
- Projected annual sales of coal – 3 million tons per year at $56 per ton = $168 million
- Projected annual sales of natural gas – 360 million mcf at $3.00 = $1.08 billion
- Total projected annual sales of coal and gas = $1.24 billion, with projected net profit of $124 million, equals a potential market value of $1.24 billion to $1.87 billion, at 10 to 15 times earnings
Universal's President, Vince M. Guest states, "We've been very hard at work to build a stronger and more solid company, and we believe there is tremendous growth ahead of us. We are planning more strategic acquisitions to build a billion dollar independent diversified energy company. We believe if we are successful in meeting the listing requirements to up-list to NASDAQ, this of course would also require that the Company would have a $4.00 stock price. No assurances can be provided that we will complete the up-list to a major stock exchange. However, management believes that, if we can successfully position our company to qualify to meet the listing requirements for one of the stock exchanges, it would greatly increase our market value, and it will be of great benefit to our shareholders and institutional investors."
About Universal Bioenergy Inc.
Founded in 2004, Universal Bioenergy Inc., is a publicly traded independent diversified energy company that produces and markets natural gas, petroleum, coal and propane. We market energy resources to the largest public utilities, electric power producers and local gas distribution companies in the U.S., that serve millions of commercial, industrial and residential customers. We are also engaged in the acquisition and development of existing or recently discovered oil and gas fields, leases and surface coal mines. For more information visit www.universalbioenergy.com
The Universal Bioenergy Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6784
Safe Harbor Statement - There are matters discussed in this media information that are forward looking statements within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. Such statements are only forecasts and actual events or results may differ materially from those discussed. For a discussion of important factors which could cause actual results to differ from the forward looking statements, refer to Universal Bioenergy Inc.'s most recent annual report and accounts and other SEC filings. The company undertakes no obligation to update publicly, or revise, forward looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.
CONTACT: For inquiries contact: Media Relations: Solomon Ali at 704-837-5705
Source:Universal Bioenergy Inc.