Aqua Care Systems Inc. purchases assets, name and operations of Midwest Water Technologies Co

Business Wire, Jan 23, 1995

HOLLYWOOD, Fla.--(BUSINESS WIRE)--Jan. 23, 1995--Aqua Care Systems Inc. (NASDAQ:AQCR) on Jan. 23, announced that it has completed the previously announced purchase of all of the assets, name and, essentially, the operations of Midwest Water Technologies Co.

The purchase price consisted of $290,000 of cash, $70,000 of Aqua Care Systems Inc. Restricted Common Stock and a potential future payment of Aqua Care Systems Inc. Common Stock of $200,000 based upon the level of purchases of product from Midwest by another corporate retail entity that is owned by the selling shareholder.

Midwest Water Technologies Co., through a predecessor entity, was formed in 1990 in Fort Wayne, Ind. as an assembler and wholesaler of various water conditioning equipment, parts and components and, to a lesser extent, reverse osmosis drinking water systems.

It sells to water conditioning dealers, plumbing wholesalers and plumbing and mechanical contractors throughout Indiana, Michigan and Ohio. Based on unaudited financial results, the company has been profitable and its 1994 revenues, on a pro forma basis, were approximately $1.6 million.

R. Brian Fifer, president & chief executive officer of Aqua Care Systems, commented that with financial support, assistance in marketing and distribution and expansion of its product line to include the reverse osmosis drinking water systems of KISS International (another wholly owned subsidiary) that Aqua Care could provide, Midwest should have excellent prospects for growth and profitability in this important segment of the industry.

Furthermore, it is expected to benefit other subsidiaries of Aqua Care Systems in functioning as its mid-west stocking and distribution center. He also indicated that other possible acquisitions of companies in the water-related industry currently were being reviewed.

Aqua Care Systems Inc. is a Florida-based Delaware corporation that was formed in 1990 and which became operational in May 1991, for the purpose of acquiring operating companies primarily in the industrial wastewater treatment and water filtration and purification industries.

On Oct. 14, 1993, the company completed its Initial Public Offering of securities, the net proceeds of which are being utilized for expansion of its existing businesses and acquisitions of additional businesses in the same, or similar, lines of business.

CONTACT: Aqua Care Systems Inc., Hollywood

R. Brian Fifer, 305/925-9993