You are here
BRANSON, Mo. -- Prime Time Group Inc. entered into a stock purchase agreement with Puerto Rico-7, a Puerto Rican company that currently owns and operates 14 7-Eleven convenience stores located in Puerto Rico. It also is the exclusive area licensee of 7-Eleven in all of Puerto Rico. It is expected that Puerto Rico-7's employees will remain with Prime Time, and will be joined by Prime Time's current management team.
Johnny Ray Arnold, chairman and CEO of Prime Time, said, "Puerto Rico-7 has opened two new stores within the last three months, and both locations have exceeded all expectations. 7-Eleven and Prime Time believe that across the island of Puerto Rico, more than 100 stores can be developed. It is our intent to fulfill that goal while maintaining the history of success, quality and customer satisfaction that are the cornerstones of 7-Eleven.
"Prime Time plans to immediately implement an image enhancement program for the existing stores as well as a marketing strategy to bring further awareness of 7-Eleven to Puerto Rico,” Arnold continued. “We also intend to build a central distribution center, which should cut costs and increase profitability."
There are approximately 4 million people on the island, with nearly 1.7 million in the greater San Juan area, where all 14 7-Eleven convenience stores are currently located. This equates to 1,000 people per square mile, making Puerto Rico approximately 10 times more densely populated than the United States. The population continues to increase as more of the island is developed. Prime Time believes that 7-Eleven is highly underrepresented in Puerto Rico, while at the same time experiencing increased brand recognition and customer satisfaction.
Completion of the acquisition is subject to, among other things, the completion of Prime Time Group's private financing, which is currently in progress.
Immediately following the closing, PRTH plans to complete the audit of its financial statements, for the purpose of becoming a reporting issuer under the Securities Exchange Act of 1934; and, as soon as PRTH is eligible, the Company intends to file for listing on the American Stock Exchange.
Prime Time Group currently operates eight convenience stores in southeastern Missouri. Upon the successful completion of the acquisition of the 14 7-Eleven convenience stores in Puerto Rico, Prime Time will be required by the stock purchase agreement to discontinue operating those stores.