It has been announced that MagneGas Corporation, a clean technology company, has executed a binding agreement to acquire all of the assets of San Diego based NG Enterprises Inc. for $750,000. The acquisition is expected to add approximately $650,000 in high-margin industrial gas and welding supply revenues. The binding agreement, includes a deposit for $300,000. The remainder of the purchase price is due at final closing, which is planned for the second week of January 2018.
“We are very pleased to take this first step in the expansion of MagneGas’ welding supply and gas distribution business outside of Florida,” commented Ermanno Santilli, CEO of MagneGas. “We firmly believe that MagneGas2® represents the future of global cutting fuel technology, and this is a critical differentiator in our target market. The greater California market is one of the two strongest markets in the US for industrial gas and welding supplies. We believe San Diego has the potential to be one of the key markets in California for MagneGas2® given the proximity to Coronado Island and the massive US military presence, as well as a wide range of utility, commercial shipping, rail, logistics and infrastructure operators in the bay area. We see this as a very compelling acquisition that will help further accelerate our growth and profitability.”