FORT LAUDERDALE, Fla., Feb. 21, 2017 (GLOBE NEWSWIRE) -- Paymeon, Inc. (OTC MARKETS:PAYM) today announced it has completed its acquisition of Rockstar Acquisitions, LLC. Going forward, Rockstar Acquisitions will conduct business under the name “Basalt America.”
Basalt America holds an exclusive license to produce, market and sell basalt fiber reinforced polymer products aimed at the $1 trillion steel component of the construction industry. Basalt America leverages its licensed intellectual property, technology and processes to produce Basalt Fiber Reinforced Polymer products that are superior to anything in the market today and that are used as replacements for steel products that reinforce concrete such as rebar. Basalt America’s licensed products, which include RockRebar®, RockStirrups®, RockStaples™ and RockMesh® are two to three times stronger and 75% lighter than steel. Unlike steel, Basalt America’s products never rust, create virtually no carbon footprint and have lifespans of more than a century. These characteristics will redefine the standards that the construction industry adheres to. Basalt America’s materials are more fully described at www.basaltamerica.com.
Paymeon will issue restricted common shares valued at approximately $35.5 million in exchange for 100% of the membership interests of Basalt America. Basalt America will immediately begin operations as a wholly-owned subsidiary of Paymeon, Inc. Paymeon expects that sales will commence towards the end of the first quarter, 2017.
According to Ed Cespedes, CEO of Paymeon, “We believe these products represent a paradigm shift in how the construction industry will look at concrete reinforcement going forward. We believe that demand for these products will be driven by a number of factors, including new regulatory requirements to consider the lifespan of projects, as well as substantial increases in infrastructure spending expected in the near future. We expect demand for our products to come from a broad range of customers ranging from small retail contractors, to very large government entities.”
Prior to its acquisition by Paymeon, Basalt America was privately funded with more than $1.3 million from accredited investors, including affiliates of our Chairman and CEO, Ed Cespedes and our Director and largest shareholder, Vincent L. Celentano. Proceeds were used primarily to secure a license for exclusive manufacture and distribution of RockRebar®, RockStirrups®, RockStaples™ and RockMesh® in the United States, excluding California and Hawaii, for 18 months, and rights of first refusal for other parts of the world. Upon expiration, Basalt America will continue to have rights of first refusal for any undeveloped territories within the United States, and around the world.
Basalt America’s products are the first of their kind to be used in conjunction with the construction of projects that formerly were exclusively steel. In 2016, the University of Miami, working with standards from the Florida Department of Transportation and the US Army Corps of Engineers, constructed the Innovation Bridge, a 70 foot bridge on the University of Miami’s campus made exclusively out of fiber reinforced polymers and without any steel at all. A summary of the work done on the Innovation Bridge can be seen here: https://www.youtube.com/watch?v=xy3ISYNJfOI&t=44s
According to Vincent L. Celentano, member of Paymeon’s Board of Directors and the Company’s largest shareholder, “We see Basalt America’s products as disruptors of today’s modern steel industry and believe their characteristics will create a dramatic shift in construction that will lead to the next industrial revolution. Given the expected increase in infrastructure spending, Basalt America is well positioned to participate in what is expected to be a high-growth industry by offering its green technology solutions, which compare favorably with steel in many aspects. Steel rusts and always will. Our basalt products last virtually forever.”
Mr. Celentano continued, “Steel had a good run and dominated the 20th century, but it’s tired and old and is the reason for the failing infrastructure today. Products made of Basalt Fiber Reinforced Polymers or ‘BFRP’ will lead the 21st century.”
