Universal Capital Management, Inc. (OTCQB: UCMT) (OTCQB: UCMTD) (the “Company”) announced today that on July 14, 2014 it entered into and closed a definitive Asset Purchase Agreement with Major League Football, LLC (“MLF”), a development stage company formed in 2009 to establish, develop and operate a professional spring/summer football league to be known as "Major League Football."
Pursuant to the terms of the Asset Purchase Agreement, the Company issued MLF 8,000,000 shares of Company common stock in exchange for assets of MLF primarily comprised of business plans and related proprietary documents, trademarks and other related intellectual property related to the development of the league. Also, pursuant to the terms of the Asset Purchase Agreement, (i) the Company’s Board of Directors was expanded to two persons, and Thomas J. Marino, MLF’s founder, was appointed as a member of the Company’s Board of Directors; (ii) Michael D. Queen resigned as our President and Chief Executive Officer and the following new management team was appointed to our Company:
Thomas Marino - Executive Chairman of the Board
Wesley Chandler - President; Secretary
Rick Smith - Chief Operating Officer
Michael Queen - Executive Vice President
Ivory Sully - Vice President - Licensing
and (iii) a number of league consultants were also retained by our Company.
In connection with the retention of the new management team and consultants, and to compensate past service providers and reduce current Company debt, additional shares of common stock and options to purchase common stock were issued at the closing of the asset purchase transaction. The Company now has approximately 38,800,000 shares of Common Stock issued and outstanding, outstanding options to purchase up to approximately 4,290,000 shares of Common Stock, and an outstanding warrant to purchase up to 2,000,000 shares of Common Stock.
The Company intends to change its name from Universal Capital Management, Inc. to Major League Football, Inc. if stockholder approval is obtained for that matter at the Company’s Annual Meeting of Stockholders expected to occur in September 2014.
About Universal Capital Management, Inc.
Universal Capital Management is seeking to establish, develop and operate a professional spring/summer football league to be known as "Major League Football," to operate as a single entity owned, stand alone, dominant independent sports league. Major League Football intends to fill a void by establishing franchises in cities overlooked by existing professional sports leagues and provide fans with professional football in the NFL off-seasons, which will enable it to take a totally non-adversarial approach towards the National Football League. Major League Football’s spring and early summer schedule ensures no direct competition with autumn/winter sports, including the 32 NFL, 9 CFL, 627 NCAA, 91 NAIA, 142 JUCO’s, 27 Canadian Universities, and thousands of high schools and collegiate institutions. Also, the Company expects to continue to be involved in the direct response management and marketing services industry in the near term.
Safe Harbor Statement
The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, such as statements about our plans, objectives, expectations, assumptions or future events. In some cases, you can identify forward-looking statements by terminology such as “anticipate,” “estimate,” “plan,” “project,” “continuing,” “ongoing,” “expect,” “we believe,” “we intend,” “may,” “should,” “will,” “could” and similar expressions denoting uncertainty or an action that may, will or is expected to occur in the future. These statements involve estimates, assumptions, known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from any future results, performances or achievements expressed or implied by the forward-looking statements. You should not place undue reliance on these forward-looking statements. Factors that that are known to us that could cause a different result than projected by the forward-looking statement, include, but are not limited to: lack of available funding; general economic and business conditions; competition from third parties; intellectual property rights of third parties; regulatory constraints; failure to market and sell team franchises; failure to establish viable marketing campaigns such as televised programming, radio broadcasting, internet websites, and other mediums; those events and factors described by us in Item 1.A “Risk Factors” contained within our latest Annual Report on Form 10-K filed with the SEC; other risks to which our Company is subject; and other factors beyond the Company's control. Any forward-looking statement made by us in this release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
Major League Football
Extension # 1007
SOURCE: Universal Capital Management, Inc.