NEW YORK--(BUSINESS WIRE)--GNCC Capital, Inc. (OTC:GNCP) (“The Company”) confirms that the following corporate actions have been executed, as follows:
RATIONALE FOR THESE ACTIONS:
The Company has terminated its previous policy of remuneration through the use of “Free Trading” shares of Common Stock and with immediate effect. With the Company’s Directors having authorized a Stock Repurchase Program of up to $750,000 on January 13, 2014 and amended on September 26, 2014; the Company’s Management believes that it is illogical to expend any sums of monies on any future stock repurchases, in the market, from either Loan Term Convertible Loan Note Holders or from any other third parties that have directly or indirectly contracted with the Company and/or its subsidiary companies.
The Company is focused on the growth of its South Florida Gaming operations held through a wholly owned subsidiary Company, Gold Coast Gaming Corp. (“Gold Coast”), The Company anticipates that it will be raising considerable sums for Gold Coast to fund their planned acquisition program.
The Company’s Directors have a taken a number of steps to improve the Company’s position to facilitate these above-mentioned steps. Part of these measures included these cancellation of shares of Common Stock to (a) reduce the number of outstanding shares of Common Stock, (b) reduce the number of shares of Common Stock in the “Free Float, and (c) prevent any additional shares from entering into the Company’s “Free Float” that are unrelated to the direct and/or indirect funding of acquisitions for Gold Coast.
CANCELLATION OF CERTAIN SHARES OF COMMON STOCK:
The Company has agreed with certain stockholders who hold a collective amount of 5,858,028,664 shares of the Company’s Common Stock to cancel their stockholdings. This will result in the Company’s outstanding shares of Common Stock being reduced by 29%. The majority of these shares of Common Stock being cancelled are at present on deposit at Broker Dealers and deposited with the DTCC; these are being recalled into Certificated Form for cancellation.
The Company has compensated these stockholders at a price of $0.0001 per share of Common Stock, settled through the issuance of shares of Series B Convertible Preferred Stock at a price of $1.00 each.
MUTUAL TERMINATION OF THE ACQUISITION OF REPUTATION MANAGERS, LLC:
The Company has terminated and rescinded its Agreements to acquire the entire Members Interest in Reputation Managers, LLC (“RM”); effective immediately; and by mutual consent with RM’s vendors. The shares of Series F Convertible Preferred Stock and the shares of Series H Convertible Preferred Stock issued in terms of these agreements have been cancelled in full. The quantum of shares of the Company’s “Free Trading” Common Stock that would have been transferred; and placed on deposit for sale; in terms of these various agreements; were deemed to be wholly unacceptable at the current stock price; to the Company's Directors, various Company Stockholders and to Long Term Loan Note Holders.
RM, whilst having potential, was deemed to be too small for the Company in terms of its Revenues and RM’s projected “non cash based” losses in our First and Second Quarter Periods, were not in line with the Company’s revised strategy in respect of our projected EBITDA in these first two Quarters of this Fiscal Year.
The Agreements in respect of RM were cancelled and rescinded by mutual consent and will not be accounted for in our Financial Statements whatsoever and the Company has suffered zero losses on this termination.
AMENDMENTS TO CERTAIN EXISTING AGREEMENTS:
The Company is amending each and every agreement with various Associates which involve the issue of, or the transfer of, “free trading” shares of the Company’s Common Stock; and in line with the Company’s new stated policy. These amended Agreements will be filed today on OTC Markets Disclosure Service.
The Company has filed full details of each of these actions today and on the OTC Markets Disclosure Service.
About GNCC Capital, Inc.:
GNCC Capital, Inc. is a Diversified Holding Company which at present has Revenue Generating, Cash Positive and Profitable subsidiary companies which are engaged in the owning and operation of Adult Social Gaming Arcades based in South Florida. The Company also has significant assets in Gold & Silver Mining Exploration in Arizona. GNCC Capital, Inc. is a Current Information Filer on the OTC Markets.
The Company’s most profitable assets, at this time, are our Adult Social Gaming Arcades in South Florida which are currently operating under our Gold Coast Gaming Corporation and as “Boardwalk Brothers” and ”Play It Again”. The Company is aggressively pursuing suitable acquisition targets in South Florida and in this Sector.
The Company also intends to continue to diversify into other Industry Sectors through acquisitions and as they present themselves; only upon our stated criteria.
This press release may contain forward-looking statements. The words "believe," "expect," "should," "intend," "estimate," "projects," variations of such words and similar expressions identify forward-looking statements, but their absence does not mean that a statement is not a forward-looking statement. These forward-looking statements are based upon the Company's current expectations and are subject to a number of risks, uncertainties and assumptions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Among the important factors that could cause actual results to differ significantly from those expressed or implied by such forward-looking statements are risks that are detailed in the Company's filings, which are on file with the OTC Markets Group.