Cannabis Media Company MassRoots to Acquire Metal Recycling Facilities

In a rather strange announcement, the social networking app for medical cannabis lovers, MassRoots has executed a Letter of Intent with Empire Services, Inc. to acquire all equity of Empire in a primarily stock-based transaction with the estimated value of approximately $14 million.

MassRoots, Inc. (OTC Pink: MSRT) is a leading media company focused on the regulated cannabis industry, with a significant following and traffic across its online and social media platforms. MassRoots has been covered by CNBC, CNN, Financial Times, Wall Street Journal, New York Times, Reuters, and the Associated Press.

MassRoots currently trades on the OTC Pink Market. The Pink Open Market provides brokers a platform for transparent trading and best execution in any security. There are no financial standards or disclosure requirements. A wide spectrum of companies are traded on this market, including foreign companies that limit their disclosure in the U.S., penny stocks and shells, as well as distressed, delinquent, and dark companies not willing or able to provide information to investors.

Established in 2002, Empire Services, Inc. operates 10 metal recycling facilities in Virginia and North Carolina and expects to continue expanding its footprint in the coming quarters. Empire is headquartered in Virginia and has approximately 65 employees as of April 2021. At the time of publication it is unclear how the acquisition will benefit the technology company focused on the regulated cannabis industry aside from boosting its balance sheets.

Mr. Isaac Dietrich, Chief Executive Officer of MassRoots was quoted as saying “We believe this acquisition will be transformative for our Company and its shareholders – upon closing, for the first time in our history, we expect MassRoots will be generating significant revenue and positive cash flows from operations. He continued, “This deal is a new beginning for MassRoots and I could not be more excited to work with our team to execute on our strategic business objectives.”

Empire Services reported generated unaudited revenues over $20 million in each of fiscal years 2020 and 2019, with net positive cash flows from operations.

“We intend to build MassRoots into a diversified conglomerate of profitable businesses as we focus on creating long-term shareholder value,” stated Mr. Danny Meeks, President of Empire. “I look forward to establishing strong corporate governance and operating procedures that will facilitate our continued growth. I believe this will be the first of many acquisitions and asset purchases.”