MagneGas Signs Deal To Buy Gas Distribution Company - Quick Facts

(RTTNews) - MagneGas Corp.(MNGA) announced Tuesday that it has signed a Letter of Intent to purchase an established industrial gas distribution company with estimated 2014 gross revenues of about $2 million. It also separately signed an agreement to purchase an industrial building nearby for expansion and relocation of its headquarters.

MagneGas has signed a non-binding Letter of Intent to purchase a well-established local industrial gas distributor in Florida providing a platform to grow sales of MagneGas while offering a wider range of services to industrial gas customers.

Separately, MagneGas has signed a purchase and sale agreement on a nearby industrial building where it intends to move the Company's headquarters and R&D facilities. Apart from being a larger, more suitable headquarters, its location, which is closer to customers and suppliers in Tampa, Florida, will greatly facilitate logistics.

Existing properties at the current MagneGas headquarters will likely be placed on the market for sale. These purchases are subject to due diligence and negotiation of satisfactory definitive agreements. Details surrounding these purchases will be provided once definitive agreements have been signed, which is expected in approximately 90 days.