NEW YORK, Oct. 8, 2007 (PRIME NEWSWIRE) -- Trustcash Holdings, Inc. (OTCBB:TCHH) confirms that the term sheet referred to in the October 5, 2007 news release from the Company is a binding agreement (the "Agreement"). The Agreement with Paivis, Corp. ("Paivis") outlines the terms of an acquisition/merger wherein Trustcash will acquire all of the issued and outstanding Common and Preferred shares of Paivis and its subsidiaries; on a share for share basis. The closing of the merger is subject to amongst other things the completion of legal and financial due diligence. This Agreement will be filed, in the form required, with the Securities and Exchange Commission within the required timeframe.
About Paivis
Headquartered in Atlanta, GA, Paivis, Corp. is a wholesale telecommunications carrier that generates approximately $10,000,000 in annual run rate revenue from the sale of prepaid calling cards, wireless services and international wholesale termination. Products are sold at over 7,500 locations throughout many of the country's major retail outlets, including Duane Reade, 7-Eleven, and Chevron.
Paivis recently announced they have entered into Definitive Agreements to acquire both Detroit Phone Cards Inc. ("DPC") and AAAA 4 Media Services, Ltd. ("A-4"). Paivis' closing of the acquisitions of DPC and A-4 are subject to completion of a financial audit and other conditions.
Paivis provides the following information in their news releases, 8-k Filings and Website (www.paivis.com) about DPC and A-4.
* DPC generates approximately $30,000,000 (unaudited) annually
from prepaid cellular phone revenue and the sale and
distribution of prepaid long distance cards.
* DPC's wireless and calling card products reach consumers
through more than 2,000 locations nationwide.
* DPC serves more than 30,000 wireless customers and generates
over 50 million network minutes per month, with an employee's
team of 30 people.
* Detroit Phone Card, Inc. sells annually more than 50,000
phones and processes more than 50,000 consumer wireless
service subscription activations.
* DPC facilitates the distribution of wireless products and
services for specific carriers and manufacturers such as
Sprint Nextel, Verizon Wireless, Boost Mobile and T-Mobile.
* A-4 generates approximately $36,000,000 (unaudited) annually
in revenue from the distribution of prepaid wireless products.
* A-4 distributes T-Mobile, AT&T and Boost Mobile prepaid
wireless products amongst others through their master dealer
agreements to over 7,000 locations in the continental United
States.
Greg Moss CEO of Trustcash comments: "A Trustcash and Paivis merger along with DPC and A-4 will create a Company with a combined revenue stream of over $73,000,000 with economies scale and a management team that will be a force to be reckoned. Although a fast moving and mammoth endeavor, I am confident in our aggressiveness and the merger becoming a success."
About Trustcash
Through its Trustcash brand and website www.trustcash.com, the Company is a pioneer of anonymous payment systems for the internet. It developed a business based on the sale of a stored value card (both virtual and physical) that can be used by consumers to make secure and anonymous purchases on the internet without disclosing their credit card or personal information. Trustcash provides to its customers the "Trustcash" payment card, which is sold in denominations ranging from $10 to $200 either online, through any of over 500 websites, or at over 50,000 retail locations in the United States via MoneyGram. Trustcash's non-reloadable, virtual Trustcash card is the only "stored value card" that can be purchased where no personal data is stored or available, providing a unique level of both security and privacy to the purchaser.
Forward-Looking Statements
The Private Securities Litigation Reform Act of 1995 (the "PLSLRA") provides a "safe harbor" for forward-looking statements so long as those statements are identified as forward-looking and are accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those projected in such statements.
Statements contained herein that are not based on historical fact, as well as other statements including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," "will," "could" and other similar expressions, constitute forward-looking statements under the PSLRA. Trustcash intends that such forward-looking statements be subject to the safe harbor created thereby. Such forward-looking statements are based on current assumptions but involve known and unknown risks and uncertainties that may cause Trustcash actual results, performance or achievements to differ materially from current expectations. These risks include economic, competitive, governmental, technological and other factors discussed in Trustcash annual, quarterly and other periodic public filings on record with the Securities and Exchange Commission which can be viewed free of charge on its website at http://www.sec.gov.