Canadian Company DGM Minerals Corp. Purchases Self Storage Facilities in Poland and Czech Republic

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    DGM Minerals Corp.  (TSX VENTURE:DGM) is pleased to announce, further to its news release issued November 5, 2013, that it has entered into a definitive share purchase agreement dated January 9, 2014 (the “Share Purchase Agreement“), under which DGM has agreed to purchase all of the issued and outstanding shares of five companies which, collectively, own and operate five self-storage stores in Poland and the Czech Republic (the “Assets“). In conjunction with the Share Purchase Agreement, DGM also entered into an asset purchase agreement dated January 9, 2014 (the “Asset Purchase Agreement“) with Mr. Guy Pinsent, under which DGM acquired the exclusive right to purchase the Assets from the vendors. Prior to executing the agreements, DGM conducted extensive financial and legal due diligence respecting the Target Companies and the Assets.

    When consummated, the transaction will make DGM the largest self-storage chain in Central Europe, a region which management believes is poised for substantial short and long term growth in the self-storage sector.

    DGM’s President and CEO, Peter Smith, continues to express a great deal of enthusiasm for the proposed transaction: “We’ve spent a lot of time and resources assessing this opportunity for DGM and we continue to feel that it has outstanding potential. Self-storage is an attractive sector to be in, and this particular opportunity gives us five established self-storage businesses, all purpose-built or renovated specifically for self-storage, and all in central, inner-city locations where real estate values are expected to grow. We also feel there is a significant growth opportunity for self-storage in Central and Eastern Europe, given that a city like Warsaw, for example, with a population close to that of Toronto, has only two self-storage stores, both of which we will acquire under the transaction. However, there still remains a lot of work to be done before the transaction can be closed. Management will continue to update the market as we progress.”

    The proposed transaction will be a “change of business” transaction (“COB“) under the policies of the TSX Venture Exchange, and accordingly requires the approval of DGM’s shareholders. In conjunction with the transaction, DGM will consolidate its current issued and outstanding shares on a 10:1 basis (the “Consolidation“) and will change its name to “Less Mess Storage Inc.” Prior to pursuing the transaction that is the subject of this news release, DGM was listed under the Mining Industry segment, focused on exploring the Notamiche Property in Quebec. In June 2013, DGM determined that it wasn’t in its best interests to continue to expend resources on the property. Following completion of the transaction and the acquisition of the Assets, DGM will be listed on the TSX Venture Exchange under the Industrial Industry Segment.

    About DGM Minerals Corp

    DGM Minerals Corp. is a Vancouver-based company and has its common shares listed on the TSX Venture Exchange. For further information, please refer to the Company’s filings on SEDAR (www.sedar.com) or contact the Company by telephone at 778.999.7030.

    (via MarketWired)

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