Red Rock Makes Acquisition, Names CFO

0

Red Rock Pictures Holdings Inc., a film and entertainment marketing company, said Thursday it entered into a definitive agreement to acquire ComedyNet.TV Inc. in a stock deal. The company also named a new chief financial officer.

Santa Monica-based Red Rock will issue 68 million common shares, or approximately 40 percent of its outstanding common shares, to acquire all stock of New York-based ComedyNet. a multimedia distributor of comedic content. Red Rock shares currently trade at 2 cents on the over-the-counter Bulletin Board, valuing the deal at $1.36 million.

ComedyNet has arranged an initial investment of $500,000 into the combined company by a third-party investor, Red Rock said. The acquisition is anticipated to close before the end February.

“This acquisition marks a key milestone and turning point for Red Rock,” said Chief Executive Reno Rolle in a statement. “In addition to the new opportunities we will develop by leveraging ComedyNet’s assets and resources, we now have the mechanism in place for funding to complete some of the exciting projects being developed internally.”

Red Rock also said it named Steve D. Handy, 40, its CFO and corporate secretary, replacing Lorraine Evanoff who left earlier this month.

Handy, 40, was most recently CFO, senior vice president and corporate secretary of SM & A;, a Newport Beach management consulting company that was acquired by a private equity firm last month.

No posts to display