Posted: Fri Feb 15, 2008 8:05 am Post subject: Fortress Financial Group, Inc. – Loan Facility
Released on: February 14, 2008, 4:24 pm
Press Release Author: Fortress Financial Group, Inc.
Press Release Summary: Company secures US$5 million Long Term Loan Facility
Press Release Body: NEW YORK, NY, February 14, 2008 Fortress Financial Group, Inc. (PINKSHEETS: FFGO) has entered into a Long Term Loan Agreement in the amount of US$5 million. This initial loan agreement is a “non recourse” loan secured against a small portion of the Company’s restricted stockholding in Hunt Gold Corporation. This loan will be drawn upon as required to fund the Company’s aggressive acquisition plan.
The Company is planning an extremely aggressive acquisition plan of companies operating in the consumer finance market which are complimentary to the Company’s Debit Card products. These acquisitions will be funded through cash, vendor financing and the issue of restricted shares of the Company’s shares of Common Stock.
It is intended that this strategy result in the Company becoming a Group of Companies with a very solid immediate earnings base which huge “cross selling” and synergetic benefits. The Company expects to expend circa US$25 million in acquisitions in the forthcoming three months, with no single acquisition being greater than US$1.5 million.
The Company expects to increase its borrowings substantially in the near future, to continue this business model of aggressive acquisitions. The Company will be leveraging against its substantial portfolio of investments in order to fund this very aggressive growth; thereby ensuring an immediate and substantial cash flow and profits for the Company.
Fortress Financial Group, Inc. holds a 48% stockholding in Hunt Gold Corporation, currently valued at circa US$500 million. Fortress Financial Group, Inc. retains additional unquoted Gold Mining & Exploration interests valued at circa US$400 million. It expects to dispose of these remaining additional assets very shortly, in return for stock in a quoted USA Gold Mining Company.
The Company will be launching its corporate web site on Wednesday February 20, 2008 and it is expected that this very detailed web site will enable investors to analyse our Company fairly rapidly. This web site will be updated on a daily basis, allowing investors to follow this extremely aggressive acquisition and growth strategy; and allow them to accurately calculate the effects of this strategy upon the Company Net Asset Value and Earnings per share.
Alan Santini, the Chief Executive Officer of Fortress Financial Group, Inc. commented “that this aggressive strategy would result in the creation strong Financial Services Group able to exploit the numerous synergies emanating from the planned acquisitions. He added that the successful execution of this business plan will result in a very strong cash flow and earnings base; facilitating further and more substantial acquisitions in the second half of this year”. Alan Santini commented that with current low interest rates and depressed market conditions, the Company was well positioned to acquire numerous synergistic companies at very low earnings multiples.
About Fortress Financial Group, Inc.
Fortress Financial Group, Inc. is now primarily engaged in the issuing and marketing of prepaid debit and credit card and related payment solution activities. It has just announced the acquisition of Moneyworx, Inc., a reseller of MasterCard prepaid USA Domestic and International Prepaid Debit Cards.
Fortress Financial Group, Inc. will be launching its own label “Fortress” International Debit Card in the first quarter of 2008.
Fortress Financial Group, Inc. (formerly Great West Gold, Inc.), was a gold mining exploration stage company, engaged in the acquisition and exploration of mining properties in the United States. The Company retained these Gold Mining Exploration interests as portfolio assets; as it intended to extract value from these assets through a future “spin off” or a sale. The Company has disposed of its interests in the “Ambassador”, “Golden Eagle” and “Mockingbird” Gold Mining Exploration properties to Hunt Gold Corporation and holds approximately 48% of Hunt Gold Corporation shares of outstanding Common Stock, as an investment.
The Company retains it interest in the “South Copperstone”, and “Bouse” Gold Mining Exploration properties, at this time. It is expected that these two remaining interests will be exchanged for shares of Common Stock in a USA Gold Mining & Exploration Company, very shortly.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a companies' annual report on Form 10-K or 10-KSB and other filings made by such company with the SEC.
Fortress Financial Group, Inc.
Chief Executive Officer
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