ATLANTA—WES Consulting Inc.—the owner of Liberator.com and the Liberator brand, a leading provider of sexual health and wellness products—has announced the completion of its acquisition of Web Merchants Inc., the owner of the popular EdenFantasys.com website.
WES Consulting Inc. acquired 100 percent of Web Merchants Inc. stock in exchange for 28.4 million shares of WES Consulting common stock and a cash payment of $100,000. Web Merchants, Inc. had net revenues of $7.6 million in 2009 and net revenues of $6.2 million for the nine months ended Sept. 30, 2010.
The acquisition will create a social network of communities focusing on sexual health and wellness. The combined company will bring together the unique capabilities of both operations in order to better serve both consumer and wholesale customers in a variety of adult and mainstream channels. As part of the acquisition, Web Merchants Inc. will relocate their New Jersey facility to the 140,000-square-foot WES Consulting Inc. headquarters and fulfillment center inAtlanta. Full integration of the companies is expected to be completed by April 2011.
“With this acquisition, our company will advance its consumer e-commerce capabilities to better serve our customers’ growing demand for sexual wellbeing products,” said Louis Friedman, president and CEO of WES Consulting Inc. “By combining the marketing experience of WES Consulting Inc. with the retail web expertise of Web Merchants Inc., we are uniquely positioned to serve both e-commerce customers, as well as, wholesale customers large and small by utilizing our network of suppliers and vendors.”
Going forward, WES Consulting Inc. will continue to drive both the Liberator and EdenFantasys brands through continued advertising, sales and marketing initiatives.
“The completion of this acquisition signals the beginning of a new, more powerful and dynamic company,” said Fred Petrenko, president and CEO of Web Merchants Inc. “The industry is changing rapidly and the excitement and rejuvenation is being felt not only within our new company, but among our customers and business partners. With the combined resources of WES Consulting Inc. and Web Merchants Inc., we are creating a strong team of knowledgeable and passionate employees that will be dedicated to delivering pioneering products and interactive experiences that will continue to capitalize on the sexual wellness category.”
WES Consulting Inc. is a U.S.-based company with fiscal 2010 sales of $11 million to customers around the world. With approximately 130 associates in manufacturing, sales, design, marketing and customer service, the company is a recognized leader in many of the industries it serves.
More information on WES Consulting Inc. can be found at Liberator.com.
