Contact Information: Investor Relations Contact: Hawk Associates, Inc. Frank N. Hawkins, Jr. or Julie Marshall Phone: (305) 451-1888 E-mail: Email Contact
Providential Holdings Subsidiary Signs LOI to Acquire Grocer Enterprise
Provimex to Become a Separate Public Company to Consolidate Stand Alone Supermarkets Serving Multi-Ethnic Communities
| Source: Providential Holdings, Inc.
LOS ANGELES, CA and HO CHI MINH CITY, VIETNAM -- (MARKET WIRE) -- December 4, 2006 -- Providential
Holdings, Inc. (OTCBB : PRVHE ) (German Stock Exchanges: PR7, WKN 935160), a
provider of international advisory services specializing in mergers and
acquisitions, announced today that its majority-owned subsidiary Provimex,
Inc. has signed a letter of intent to acquire Grocer Enterprise, Inc., a
supermarket serving multi-ethnic communities in Southern California.
The closing of this transaction, scheduled to occur by the end of 2006, is
subject to satisfactory due diligence review and the signing of a
definitive agreement by both parties.
David Le, president and CEO of Provimex, said, "We intend to use Grocer
Enterprise as a platform to acquire and consolidate stand alone
supermarkets that serve multi-ethnic communities in California and
eventually in other states. Provimex will complete the financial audits and
file a registration statement to become a separate fully reporting public
company to create value and liquidity for shareholders who have received
our Provimex share dividends in the past."
As the majority shareholder, Providential Holdings expects to consolidate
approximately $5.2 million from Grocer Enterprise's annual revenues
following the completion of the contemplated transaction.
About Provimex
Provimex, a Providential Holdings company, is an international market
development company that focuses on international trade, foreign-based
manufacturing development, real estate development and educational training
for developing countries. Provimex was founded to create and execute new
ideas with an international team of trading experts, market specialists,
technologists, attorneys, economists, educators and financial executives to
respond to the explosive growth in international markets today. For more
information, visit http://www.provimex.us.
About Providential Holdings, Inc.
Providential Holdings and its subsidiaries engage in a number of diverse
business activities, the most important of which are M&A advisory services
and independent energy. The company acquires and consolidates special
opportunities in selective high-growth industries to create additional
value, acts as an incubator for emerging companies and technologies, and
provides financial consultancy and M&A advisory services to U.S. and
foreign companies. As part of its activities in Vietnam, Providential has
been hosting seminars in conjunction with the Nasdaq Stock Market, the
Vietnamese Chamber of Commerce and Industry and a leading U.S. investment
banking firm to help Vietnamese companies go public and raise capital
through the U.S. financial markets. For more information on Providential
Holdings and its subsidiaries, visit http://www.phiglobal.com.
A profile for investors can be accessed at
http://www.hawkassociates.com/prvhprofile.aspx.
For investor relations questions regarding Providential, contact Frank
Hawkins or Julie Marshall, Hawk Associates, at (305) 451-1888, e-mail:
info@hawkassociates.com, or visit http://www.americanmicrocaps.com or
http://www.hawkassociates.com
Safe Harbor: This news release contains forward-looking statements that are
subject to certain risks and uncertainties that may cause actual results to
differ materially from those projected on the basis of such forward-looking
statements. Such forward-looking statements are made based upon
management's beliefs, as well as assumptions made by, and information
currently available to, management pursuant to the "safe-harbor" provisions
of the Private Securities Litigation Reform Act of 1995.