SIMI VALLEY, Calif.--(EON: Enhanced Online News)--CMSF Corporation (OTCBB:CMSF) has no significant operations. Its stated purpose has been to seek a merger with an operating company. Today, CMSF announced that it has entered into such an agreement to merge with Plures Technologies, Inc. Plures, through its 95%-owned subsidiary, Advanced MicroSensors Corporation, is a semiconductor foundry with unique expertise and capabilities to develop and fabricate high-quality, high-margin micro-electro-mechanical-systems (MEMS) and spintronics solutions.
“After a long, thorough search for a merger partner, we believe our patience has been rewarded. We are fortunate to have found a growing technology company like Plures with which to merge and we are eager to see the company succeed.”
On May 23, 2011, RENN Universal Growth Investment Trust PLC and RENN Global Entrepreneurs Fund, Inc. purchased $1,500,000 and $500,000 Plures promissory notes, respectively. At the same time, CMSF agreed to a merger with Plures. The merger will be consummated in the coming months. Simultaneous with the consummation of the merger, RENN Universal and RENN Global will convert their debt to equity in the combined Plures-CMSF entity, which will be called Plures Technologies, Inc.
After the closing of the merger (and upon conversion of debt to equity), 72.5% of the combined entity’s outstanding common stock will be owned by the current stockholders of Plures, 20.5% of the stock will be owned by RENN Universal, 6.8% will be owned by RENN Global and 0.2% will be owned by existing CMSF shareholders unrelated to Plures, RENN Universal or RENN Global. For additional details on the transaction, please refer to the Form 8-K CMSF filed on May 25, 2011.
Stephen Crosson, chief executive officer of CMSF stated: “After a long, thorough search for a merger partner, we believe our patience has been rewarded. We are fortunate to have found a growing technology company like Plures with which to merge and we are eager to see the company succeed.”
Russell Cleveland, president of RENN Capital Group, Inc., investment adviser to both RENN Universal and RENN Global, stated: “Plures is a specialized company with unique capabilities in the semiconductor business. It has the ability to deliver to customers what others cannot. We have, in Plures, invested alongside an entrepreneurial management team and we are looking forward to working with them as they take a world-class technology to the next level.”
“We are pleased to welcome CMSF, RENN Universal and RENN Global as investment partners. With the backing of CMSF, RENN Universal, RENN Global and our other partners, we will be able to fully utilize our extensive experience and know-how in MEMS and spintronics as we implement our growth initiatives in these two markets, each of which is projected to deliver double-digit annual growth through 2015” stated Glenn Fricano, president of Plures.
For more information on Advanced MicroSensors Corporation, Plures’ 95%-owned subsidiary, please visit www.advancedmicrosensors.com.
For additional information about RENN Universal or RENN Global, please visit www.rencapital.com.
Forward Looking Statements
This report contains forward-looking statements. Such statements reflect the current views of CMSF with respect to future events and are subject to certain risks, uncertainties, and assumptions. Although CMSF believes that the expectations reflected in such forward-looking statements are reasonable, should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual future results or events may vary materially from those described herein. Past performance is not indicative of future results.