$GNCP GNCC Capital, Inc. Confirms That It Is In Very Material And Final Discussions
News Link: https://www.otcmarkets.com/stock/GNCP/news/GN...?id=312313
COMPANY HAS ELECTED TO FINALLY BRING A CONCLUSION TO LONG OVERDUE CORPORATE ACTIONS AND TO MAXIMIZE STOCKHOLDER VALUE
LAS VEGAS, July 20, 2021
LAS VEGAS, July 20, 2021 /PRNewswire/ -- GNCC Capital, Inc. (GNCP.PK) ("The Company" or "GNCP"
can now confirm that your Directors decided late yesterday to finally agree to formally enter into very material discussions. Your Directors have finally reached a point whereby they want a satisfactory and "stress free" closure of transactions for this Company and in a manner that best serves our shareholders' interests.
At this point, we can provide a few details; and as follows:-
1. We have been formally approached by a highly credible Corporate Finance Company to raise (and possible advance) the funding that the Company requires in order to (a) exercise the Option over the Lithium Exploration Properties and (b) provide additional funding to allow our Company to acquire a solid, well established profitable Company that generates revenues and cash flow.
Your Directors, together with outside Counsel will now be evaluating this proposal, the timing and the process as it requires SEC approval.
2. Your Directors are extremely unhappy over what we consider to be unacceptable and unwarranted price movements in the trading of our shares over the past few trading days. That being said, a long planned possible scenario for our Company was reactivated late yesterday. This will not result in a full bid for our Company but if brought to fruition it could resolve most of the primary issues that your Directors are facing in the execution of our stated planning. Effectively if it is concluded, it brings a powerful "Partner" on board whose involvement could very well satisfy certain large shareholders holding our various Classes of Convertible Preferred Stock; including the secured Classes. At this point, these shareholders are not "on board" with any of our stated objectives. This absolutely is a hurdle that is real and has to be overcome if we are to close up any transactions.
We can confirm that the two transactions as above-mentioned would be able to be structured to work together; so it not a question of us having to choose one transaction.
To summarize, your Directors wish to bring a nearly six month "saga" to a satisfactory conclusion and truthfully, as fast as is reasonably possible. Needless to say, your Directors will ensure that any transactions(s) agreed upon will be in the best interests of all shareholders.
Your Directors are becoming increasingly frustrated by (a) reluctant Preferred Stockholders (b) unrealistic expectations from a number of shareholders (c) endless amounts of Management time and energy in our communicating with shareholders (d) a number of shareholders with extremely unrealistic time horizons. All of this being coupled with our being literally forced to provide constant public updates and with no satisfactory resolutions in the immediate term. Your Directors and shareholders want final resolutions and no longer, these long drawn out negotiations with no tangible results. In short, your Directors are determined to bring the Company's status and conclude transactions to a satisfactory level; and now, as fast as is possible. Your Directors have after very considerable thought; finally decided to bring and an end to what we now refer to a "long drawn out saga" which we have tired of; as have our shareholders.
Given your Directors desire to bring a final, consummated and satisfactory resolution to our shareholders, we are going run these negotiations for what we believe will be for a period of no more than two weeks. During that time, we will not be updating shareholders unless a transaction is consummated. At this point, our planned immediate Chairman's Letter would be pointless given our final decisions yesterday and as set out in this Press Release. The Q3 Report to June 30, 2021 will be filed very shortly but without the Chairman's Letter; our rationale for a few day delay is in order to include all Preferred Stock Conversions and Stock Issuances this week; into both this Report and the required OTC Markets Disclosure Statements. As shareholders are acutely aware, it is imperative that the Company file its Financial Reports timeously and due to the revised SEC Rule 15c-211 requirements.
We understand that certain shareholders are being misled into believing that this Company will be conducting a Reverse Split of its Common Stock. Again, we wish to categorically state that this is never going to happen. Your Directors are firmly of the opinion that a Reverse Split of a microcap Company's shares is prejudicial to all stockholder interests and is effectively, in our opinion, a destruction of wealth.
Finally, we are in a position to confirm that our largest shareholder, Premier Development & Investment, Inc. (PDIV.PK) has elected to convert some $2.5 million of Convertible Preferred Stock into shares of restricted GNCC Common Stock. As Premier is a GNCC Insider, it is not able nor willing to dispose of any of its shareholdings in GNCC. Premier views its holdings in GNCC as a passive and a very attractive investment. The current GNCC stock price was considered as an attractive entry point for Premier to further increase its shareholding in GNCC and through the conversions of its holdings in our Company's Convertible Preferred Stock.
Furthermore, we wish to place of record that with your Directors being the Directors of Premier, we are having to allocate far more of our time to Premier's business interests. Given Premier's substantial cash on hand and its highly material daily Futures trading operations; this now requires that your Directors to resolve the GNCC Capital, Inc. negotiations as soon is now possible.
Your Directors would strongly recommend that our shareholders exercise extreme caution in their dealings in our shares whilst we are negotiating these proposed transactions. Shareholders are encouraged to only follow direct statements issued by ourselves and to not be misled by random Internet postings by those whom have zero knowledge of our negotiations.
The Company will be filing on OTC Markets today, certain Regulatory obligatory filings in order to ensure that our shareholders are in possession of all the facts and in a very timely fashion.