PHI Group Completes Due Diligence of South African Target Company and Sets Closing Date for Acquisition

NEW YORK, Sept. 06, 2016 -- PHI Group (www.phiglobal.com) (OTC Markets:PHIL), a U.S. diversified holding company engaged in mergers and acquisitions announced today that Milost Advisors Inc has completed all aspects of its due diligence review of the previously announced South African acquisition target company (“TARGET”) and will commit the necessary resources to conclude this transaction by September 20, 2016. The name of the target will be disclosed on the closing date.

According to the re-negotiated deal following the due diligence, all shareholders of the TARGET will have the possibility to exchange their shares for PHI Group’s stock. The exchange rate will be determined on the basis of 10 days’ Volume-Weighted Average of both companies’ stock prices (the "Acquisition Value").

In addition, PHI Group will make available a $20-million shareholder loan facility to retire the TARGET’s subsidiary term loan and provide working capital required to internationalize TARGET’s operations. 

The TARGET is a leading company in the natural resource and construction material space in South Africa with average annual revenues of approximately $70 million during the last two years. The closing of this transaction is expected to add $6 million monthly revenues to PHI Group by the end of this month, not to mention new initiatives to capitalize on TARGETS’ capabilities to expand and grow both its domestic and international business.

Mojca Lukancic, Legal Advisory Managing Partner of Milost Advisors Inc, stated: “With support from all involved, we have arrived at the closing stage. This has required a lot of work and cooperation. Everybody is aware that after closing the real work will start, which will bring the TARGET to be among the best in its class.”

Henry Fahman, Chairman and CEO of PHI Group, added: “We are very pleased to have progressed very quickly on this transaction. We greatly appreciate the support of Milost team and the TARGET’s management, board of directors and shareholders who have made this deal possible.  We also expect to announce other acquisitions that can potentially add significant value to the Company in the very near future.”

About PHI Group, Inc.
PHI Group, Inc., a U.S. publicly traded company established in 1982, is in the process of acquiring controlling interests in a number of targets in the areas of conventional energy, renewables, natural resources and special situations with intention to build a critical mass and uplist to the Nasdaq Stock Market as soon as practical.

About Milost Advisors Inc
Headquartered in New York City, Milost Advisors Inc. is a global investment banking firm for mid to large market clients and entrepreneurs globally. Milost team experience continues to enable it to offer its clients comprehensive advisory services including M&A, capital markets, legal, research as well as restructuring and strategic advisory.

Safe Harbor: This news release and the featured interview contain forward-looking statements that are subject to certain risks and uncertainties that may cause actual results to differ materially from those projected on the basis of such forward-looking statements. Such forward-looking statements are made based upon management's beliefs, as well as assumptions made by, and information currently available to, management pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995.

Contact:
Henry Fahman
+1-702-475-5430
 [email protected]