LONDON--(Marketwired - Jul 31, 2013) - E-Waste Systems, Inc. (
The Company announces an exchange of accrued compensation or existing common shares among company management and key consultants and advisors for a combination of preferred shares and common stock options (the 'Exchange Plan').
"This plan is strong statement of management's commitment to our company's future. This action is designed to show our shareholders that we are strongly focused on building long term shareholder value," stated Martin Nielson, CEO and founder of EWSI. "We have implemented very aggressive growth plans, the results of which are only now beginning to be visible. This Exchange Plan supports our growth and follows our recently announced 2013 business and finance plan (Summer update). The move strengthens our Company's balance sheet and provides additional performance-based incentives to our key managers," added Mr. Nielson.
EWSI recently published an update to its business plan with the addition of a more careful outline of its financial strategy. The Exchange Plan, which will be issued only to executives or consultants who are Qualified Investors, calls for an exchange of issued common shares or accrued compensation for a mix of either Series A or Series B Preferred stock plus fully vested options together with an agreement that none may be converted into issued common shares until at least the end of the 1st Quarter 2014. The plan will enhance common shareholder equity by providing a capital raising structure to support expansive growth, capital raising and business development.
Details of the new Series B Preferred stock were filed with the SEC on Form 8K and can be viewed on the Company's website. The Exchange Plan will be confirmed by filings with the SEC. Upon completion, the number of common shares issued and outstanding is expected to be reduced by as much as 20-25%.
"Everything we do is according to a plan. Building our global brand, expanding our technology and accelerating our revenues all require a solid financial foundation. This is part of building that foundation and will be followed by additional important elements as the year progresses," added Mr. Nielson.
The e-waste and reverse logistics market has become a $100B+ annual business (Source:Blumberg Advisors), excluding much of the resale of still usable goods that flood the marketplace as new updates in software and hardware are released. Furthermore, as environmental legislation and policies sets more stringent requirements for the disposal of these items, many analysts and practitioners expect e-waste to grow faster than any other waste stream over the next 5 years. The benefits of e-waste management and recycling are many, including conservation of natural resources, creation of new jobs, prevention of environmental contamination by toxic chemicals, and reduction of energy requirements.
About E-Waste Systems, Inc.
E-Waste Systems, Inc. is the first pure play public company in the emerging waste electrical and electronics equipment ("WEEE") industry. EWSI targets companies facing regulatory or other mandates for handling e-waste. EWSI operates and assists its large geographical network of affiliates, applying best practices in professional management, offering state-of-the-art engineering, and providing a truly global e-waste solution. Additional information, including the business plan summary, is available on the Company's website: www.ewastesystems.com.
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Safe Harbor Statement: Certain statements and information in this release constitute "forward-looking statements" as defined in the Federal Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied in such statements. Additional discussion of factors that could cause actual results to differ materially from management's projections, estimates and expectations is contained in the Company's SEC filings. The Company assumes no obligation to update any forward-looking statements as a result of new information, future events or developments, except as required by federal securities laws.
E-Waste Systems, Inc.