Bulova Technologies Group, Inc. (OTCMKTS:BTGI) shares were up 77.78% on Wednesday to $0.00640 and flat in after-hours trading. The company has a market cap of $378,549.00 at 95.29 million shares outstanding. Share prices have been trading in a 52-week range of $0.00 to $0.30.
Bulova Technologies Group is a seller of high precision industrial machine tools, primarily through its distribution network. It operates through two key segments: Transportation Services and Commercial Sales. The Transportation Services segment provides freight storage and movement across the Continental United States, and the Commercial Sales segment is involved in sales and distribution of industrial machines, ammunition, software and healthcare products.
At the start of the month, the company announced that it reached a merger agreement with Gulf Transportation Group through its subsidiary BT-Twiss Logistics. This agreement was sealed in July 21 and will increase Bulova Technologies Group’s portfolio by more than 500 owner-operators, thereby increasing annual sales by approximately $2 million.
As such, it can enhance the international presence of Bulova Technologies Group, particularly in the US-Canadian border. According to Bulova Technologies Group CEO Stephen Gupta, the company will carry on with seeking out business areas that promise higher profits and customer satisfaction. He added that the operations of BT-Twiss have been pivotal to the company’s progress, which makes an ideal candidate for the merger.
The terms of the agreement state that Joseph Drago, who is the Canadian Logistics Director of Sales and Operations in Gulf Transportation Group, will be brought on board as part of the merger. Drago has operated Gulf Transportation Group as the owner, making him fully aware of the company’s operations and having more than 40 years of experience in the transportation business.
So far, no additional financial details on the merger have been disclosed, although investors seem positive that the agreement could benefit Bulova Technologies Group in the long run, as evidenced in the sustained stock price rally.
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