QEP Co, a worldwide manufacturer, marketer and distributor of hardwood flooring, flooring installation tools, adhesives and flooring-related products, signed a letter of intent to acquire Imperial Industries.
Pompano Beach, Fla.-based Imperial Industries, maker and distributor of exterior building products, said it received a line of credit up to $500,000 from QEP.
The credit is intended to provide Imperial funds for its current working capital needs and any transaction costs that may be incurred as a result of a subsequent merger between Imperial and QEP.
Daniel Ponce, Imperial's chairman of the board, stated: "This loan agreement provides the company with the necessary funds to address the immediate liquidity needs of its operations during this difficult period in the construction industry. We are excited about the potential acquisition of our company by QEP. Should our company join forces with QEP, I believe it would strengthen our operations and greatly enhance our company's ability to improve our market position."