Vancouver, B.C. - Luxor Industrial Corp. has announced it has increased its ownership from 60 percent to 100 percent in both Mill Frame LLC and Mill Frame Inc. Luxor decided in a previous agreement to increase ownership to 100 percent if both Mill Frame LLC and Mill Frame Inc. reached certain sales milestones – which they did.
These changes, however, became necessary in order for Luxor to continue its turnkey framing business in the U.S. The U.S. Department of Immigration required Luxor to own 100 percent of Mill Frame LLC (based in both the U.S. and Canada) in order to issue work visas for Luxor’s employees to travel and work in the U.S. In addition, the Export Development Corporation (EDC) required Luxor to own 100 percent of Mill Frame Inc. in order to provide insurance coverage for its turnkey framing contracts. All parties have agreed to this increase in ownership and it has been finalized. Consideration is being discussed.
Luxor has finalized its export insurance with EDC. This insurance covers 90 percent of receivables for the turnkey framing contracts in the U.S. To date, four contracts exceeding $11 million have been finalized. Even though these contracts are with top established builders, Luxor’s management made a decision to insure all such contracts.
Luxor said it will keep shareholders informed on progress on the above matters as well as any other developments.