ForceField Energy Inc. (NasdaqCM:FNRG) signed a letter of intent to acquire ESCO Energy Services Co., Inc. from Mitchell Barack on July 23, 2014. The consideration will be paid in combination of cash, stock and a seller's note. In addition, the acquisition will include additional performance-based consideration payable only upon ESCO achieving mutually agreed EBITDA milestones over the two to three year period following the closing. ESCO Energy Services reported revenues of approximately $10 million for the twelve months ending June 30, 2014. The transaction is subject to customary closing conditions and ForceField obtaining financing. The transaction is expected to close by October 15, 2014 and is expected to be accretive to ForceField's earnings in 2014. BCMS Capital Advisors LLC acted as financial advisor to ESCO Energy Services Company.

The parties entered into an agreement on October 17, 2014. Lawrence Nusbaum of Gusrae Kaplan Nusbaum PLLC acted as legal advisor for ForceField. James E. Abbott of Seward & Kissel LLP acted as legal advisor for Mitchell Barack.

ForceField Energy Inc. (NasdaqCM:FNRG) completed the acquisition of ESCO Energy Services Co., Inc. from Mitchell Barack for $13.2 million on October 17, 2014. Under the terms of the purchase agreement, ForceField acquired all the outstanding equity in ESCO for total consideration of $7.5 million which included $1 million in cash, the issuance of o.37 million restricted common stock in amount of $2.5 million and the issuance to the selling shareholder of two secured notes which includes a $2.1 million note bearing interest at 6.02% due in April 2016, and a $1.1 million note due on November 16, 2014. The sellers are also entitled to earnout contingent payments of $5 million during the period commencing from closing to June 30, 2017.