Zealous Changes Name, Will Sell Off Adult Assets

LOS ANGELES — Zealous Inc. has changed its corporate name and plans to shed its assets that have adult industry ties, XBIZ has learned.

Zealous will now be known as CoreStream Energy Inc., and the company seeks to broaden its ventures to include gas and oil exploration and development.

The latest announcement comes after Milton (Tod) Ault resigned as its CEO, chairman of the board and president. Ault still owns 23 percent of the company's shares.

Up until November 2008, the company operated under the moniker Adult Entertainment Capital Inc.

For years, it has published adult nightclub magazine Stilletto, operated TheAdultSpot.com and distributed nutraceutical drinks RockHard Weekend and Surge.

The company in a statement said it is "pursuing opportunities to drill in areas with proven reserves and to purchase existing production with large geological offset opportunities."

The company also said it plans on divesting its non-gas and oil assets over the next several months.

"A few offers are pending for [RockHard Weekend and Surge] and management is working on determining the best path for the company," the company said in documents obtained by XBIZ.

"[TheAdultSpot] is in negotiations to be sold to a third party while Ault has been retained as a consultant to help liquidate the remaining assets to the benefit of the company's creditors and investors."

Last year, the company had a net loss of $5.9 million, according to documents obtained by XBIZ.

XBIZ calls for comment to newly installed CEO Chris Rainbolt and former CEO Ault went unreturned at post time.

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