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Luxor Industrial increases its interest to 100% in Mill Frame LLC and Mill Frame Inc.

Luxor Industrial increases its interest to 100% in Mill Frame LLC and Mill Frame Inc.

Luxor Industrial Corporation has increased its ownership from 60% to 100% in both Mill Frame LLC and Mill Frame Inc. The initial agreement was to increase ownership to 100% based on certain sales milestones achieved by these 2 entities. These changes, however, became necessary in order for Luxor to continue its turnkey framing business in the United States, as the company said in the press release received by Lesprom Network. The US Department of Immigration required Luxor to own 100% of Mill Frame LLC in order to issue work visas for Luxor’s employees to travel and work in the US. Export Development Corporation (EDC) required Luxor to own 100% 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% of receivables for the turnkey framing contracts in the US. To date the Company has finalized 4 contracts exceeding $11 million. Even though these contracts are with top established builders, Luxor’s management made a decision to insure all such contracts. EDC insurance is also required for the Company to secure credit facilities with any major Canadian bank. The Company is currently working to finalize these credit facilities.

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