Cardiff Lexington Corporation Acquires Red Rock Travel Group
Ft. Lauderdale, FL. , May 01, 2018 (GLOBE NEWSWIRE) -- Cardiff Lexington Corporation (OTCQB: CDIX) and Red Rock Travel Group, (Private: Red Rock Travel) announced today they have signed a definitive merger agreement under which Red Rock Travel will merge into Cardiff Lexington Corporation as its subsidiary in an all-stock transaction.
This merger provides Cardiff Lexington further entry into the online/offline marketing space. Red Rock has developed lead generation proprietary software for timeshare and vacation club industries. Red Rock currently has a 2018 revenue run-rate of $2.16 million with an estimated $648k EBITDA. Headquartered in Orlando, FL, with locations with an additional two call centers, and a experience top-notch staff. The Company has little debt with rapid growth.
“Red Rock is the first three new pending acquisitions in 2018 to the Cardiff Lexington portfolio and offers unique synergies in a robust marketing industry. We are ecstatic about this synergistic new acquisition,” stated Alex Cunningham, President/Chief Executive Officer of Cardiff Lexington. "As we promised to our shareholders, Cardiff Lexington over the long-term stays engaged in sourcing, evaluating, and acquiring well-managed, highly-profitable niche companies with little-to-no debt. This acquisition further enhances our ability to attract technology leaders within this ever-growing industry insuring us a strong revenue stream, improving profitability and increasing shareholder value.”
Red Rock Travel Group (http://www.RedRockTravelGroup.com) is the leading provider of timeshare and travel club leads in the country. They have physical kiosks in strategic locations offering discounted theme park tickets, highly discounted travel, and engage in significant online, media, and offline advertising that directs traffic to online websites or to their state-of-the-art call center. One of their online lead generation websites is http://www.MyFloridaGetaway.com/.
Founder and CEO, Jay Jahid, has been at the highest level of lead generation for the timeshare industry for decades having generated hundreds of thousands of tours and being the go-to marketing expert for the largest names in the industry.
Red Rock also has proprietary in-house technology that serves as the powerful data segmentation platform available and can be used to serve multiple industries for a variety of purposes beyond the lead generation industry.
Timeshare Industry Highlights (travel club industry not included):
· The timeshare industry alone did $8.6 billion in 2015
· 9.2 Million—Number of U.S. Households That Own 1 or More Types of Product
· $79.5 Billion—Contribution to U.S. Economy.
About Cardiff Lexington Corporation: Cardiff Lexington is a public holding company, much like a cooperative, leveraging proven management in private companies that become subsidiaries. Our focus is not industry or geographic-specific, but rather proven management, market, and margin. Cardiff Lexington targets acquisitions of mature, high growth, niche companies. Cardiff Lexington's strategy identifies and empowers select income-producing middle market private businesses, technology companies and commercial real estate properties. Cardiff Lexington provides these companies both 1) the enhanced ability to raise money for operations or expansion, and 2) an equity exit and liquidity strategy for the owner, heirs, and/or Investors. For investors, Cardiff Lexington provides a diversified lower risk to protect and safely enhance their investment by continually adding assets and holdings. Cardiff Lexington is led by strong and talented team of executives and advisors providing expert acquisition, market guidance and added value for subsidiaries and investors.
FORWARD LOOKING STATEMENT: This news release contains forward looking statements within the meaning of the Securities Litigation Reform Act. The statements reflect the Company's current views with respect to future events that involve risks and uncertainties. These risks include the failure to meet schedule or performance requirements of the Company's contracts, the Company's liquidity position, the Company's ability to obtain new contracts, the emergence of competitors with greater financial resources, and the impact of competitive pricing. In the light of these uncertainties the forward-looking events referred to in this release might not occur.