EQM Technologies & Energy, Inc. (OTCPK:EQTE) entered into a memorandum of understanding to acquire Sullivan International Group, Inc. for $4.1 million in cash and stock on January 21, 2014. The consideration includes $2 million to be paid in cash and issue of 16 million shares of EQM Technologies. Post transaction, Steve Sullivan, Chief Executive Officer of Sullivan International will become President and a Director of EQM Technologies. The transaction is subject satisfactory completion of a mutual due diligence review and raising of at least $10 million in net proceeds in a PIPE or public offering of shares of EQM Technologies. Memorandum of understanding contains a binding exclusivity provision in which Sullivan has agreed that for 180 days it will not enter into another agreement with a third party with respect to the acquisition or sale of Sullivan or a material part of its assets and this exclusivity provision will be extended automatically for an additional 180 days if EQM Technologies enters into a letter of intent or similar agreement with an underwriter or placement agent with respect to the financing. Upon completion of the merger, Sullivan's Chief Executive Officer, Steve Sullivan would become President and a Director of EQM Technologies & Energy. Roth Capital Partners, LLC acted as financial advisor to EQM Technologies & Energy, Inc. Monarch Capital Group acted as co-manager to EQM Technologies.

EQM Technologies & Energy, Inc. (OTCPK:EQTE) cancelled the acquisition of Sullivan International Group, Inc. on September 9, 2014.