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Green Automotive Submits Offer to Purchase Assets of StarPoint USA Inc.

^{Published on 2011-05-11 06:40:35 - Market Wire}
 

DALLAS--([ BUSINESS WIRE ])--Green Automotive Company Corporation (OTC:GACR) ([ www.usaelectricauto.com ]) announced today that it has submitted an offer to purchase the assets of StarPoint USA Inc., the successor company to Daewoo Motor America, Inc., and former importer of nearly 200,000 passenger vehicles into the US from South Korea.

"With over 300 retail automotive dealerships covering a large number of the major metropolitan markets"

In announcing the offer submitted to the management of Starpoint, Fred Luke, President of Green Automotive, said, aOur interest in StarPoint USA has not been a secret. We have been working with the company for over six months now in the testing and qualification of the All-Electric Sport Utility Vehicle in preparation for introduction to the U.S. market during the fourth quarter of this year. aOur relationship with Starpoint and its personnel,a said Mr. Luke,a has convinced us that a business combination between the two companies would result in significantly increasing the value to the shareholders of both companies.a

According to Mr. Luke, aGreen Automotive personnel discussed a business combination with Starpoint management earlier in their relationship, but elected to get to aget to know the companya™ better through a contractual relationship before taking the next step. Now, after getting to know the companya™s personnel and capabilities better Ia™m convinced that a amarriagea™ between the two companies will improve significantly Green Automotivea™s strategic capabilities in the areas of vehicle import, homologation, distribution, and dealership development.a

aWith over 300 retail automotive dealerships covering a large number of the major metropolitan marketsa, said Mr. Luke, aStarPoint also has a Vehicle Distribution System, consisting of proprietary hardware and software, originally developed at a cost of over $100 million, used to manage and track all transactions relative to the importation and distribution of vehicles including post-sales parts, service, warranty and customer relations management. The addition of Starpoint to the Green Automotive organization has the potential to timely leverage StarPointa™s existing dealership infrastructure and nationwide dealership network to enable us to enter the market on time, or perhaps sooner than originally expected, with a very potent pre-existing dealer presence.a

Mr. Luke went on to say, aThis proposed amarriagea™ is still in its infancy, and I suspect that it may take a week or so for the Starpoint management to evaluate the value of the proposal, but I feel like the combination of our respective businesses as wea™ve proposed will create a significantly stronger and more valuable companya

About Green Automotive Company Corporation: Green Automotive Company Corporation is a U.S. public company involved in the import and distribution of Eco-friendly vehicles in the U.S. The Company has an exclusive importer/distributor agreement to market the All-Electric SUV and MPV All-Electric vehicles throughout the United States. The Company's shares are on the OTC Market Tier--OTC Pink Current under the symbol "GACR". Visit [ www.usaelectricauto.com ] or write to [ info@usaelectricauto.com ].

Safe Harbor Statement - This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approvals for anticipated actions. Such statements are based on management's current expectations and are subject to certain factors, risks and uncertainties that may cause actual results, events and performance to differ materially from those referred to or implied by such statements. In addition, actual or future results may differ materially from those anticipated depending on a variety of factors, including continued maintenance of favorable license arrangements, success of market research identifying new product opportunities, successful introduction of new products, continued product innovation, sales and earnings growth, ability to attract and retain key personnel, and general economic conditions affecting consumer spending. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Green Automotive Company Corporation incorporates by reference its disclosure and financial statements posted on [ www.otcmarkets.com ], and does not intend to update any of the forward-looking statements after the date of this release to conform these statements to actual results or to changes in its expectations, except as may be required by law.