DUBAI, UNITED ARAB EMIRATES--(Marketwired - Nov 14, 2016) - Global Equity International, Inc. (
Last week, the Company filed a Certificate of Designation with the Secretary of State of Nevada in order to designate 45,000,000 Series "B" Preferred Shares. Each share of Series "B" Preferred can be convertible at any time, and from time to time, into ten shares of Common Stock only after one day and twelve months from the date of issuance. These Series "B" Preferred Shares will carry 10 votes per share (votes along with common stock) and will have no liquidation rights. In the event the Board of Directors declares a dividend on the Common Stock, each Series "B" Preferred Share will be entitled to receive an equivalent dividend as if the Series "B" Preferred Share had been converted into Common Stock prior to the declaration of such dividend.
On November 11, 2016, Peter Smith and Enzo Taddei, the Company´s CEO and CFO respectively, agreed to retire 200,000,000 Common Shares each (an aggregate of 400,000,000 Common Shares) in exchange for 20,000,000 Series "B" Preferred Shares each (an aggregate of 40,000,000 Series "B" Preferred Shares). Mr. Patrick Dolan, the Company´s Managing Director, agreed to retire 50,000,000 Common Shares in exchange for 5,000,000 Series "B" Preferred Shares.
The issuance of these 45,000,000 Series "B" Preferred Shares, in exchange for the retirement of the 450,000,000 Common Shares, will protect Management's voting power and ability to participate in the future of the Company, whilst at the same time not doing anything detrimental to the shareholders of the Company.
Prior to the retirement of the Common Stock, the Company´s issued and outstanding Common Shares totaled 819,499,228 and the freely tradable float totaled 211,298,715. After the retirement of the Common Stock, the new issued and outstanding Common Share count was reduced to a mere 369,499,228 and the float remained exactly the same, 211,298,715.
This exercise represented a 54.91% reduction in the total issued and outstanding Common Stock of the Company.
Enzo Taddei, CFO of Global Equity International Inc., said, "We truly believe that retiring these Common Shares and exchanging them for the preferred shares is an intelligent move in the right direction. It should help to alleviate the pressure on the stock price in due course and also allow the Company to obtain, in time, a well-deserved and logical market cap. Management are all insiders and never intended to sell any of its Common Shares for a very long time; now hopefully we have finally demonstrated to the Market that we are willing to take illiquid Preferred Shares instead of Common Shares and truly play the long game as we believe wholeheartedly in our Company and its future. Due to travel arrangements of Management and paperwork requirements for this action, we would like to inform our shareholders that our OTC Markets profile will probably not reflect this reduction in Common Stock until at least Thursday or Friday of this week."
About Global Equity International Inc. and Subsidiaries
Global Equity International Inc., through its wholly-owned subsidiaries GEP Equity Holdings Limited and Global Equity Partners Plc., advises worldwide business leaders with their most critical decisions and opportunities pertaining to growth, capital needs, structure and the development of a global presence. With offices in Dubai and London, Global Equity has developed significant relationships in the US, UK, Central Europe, the Middle East and South East Asia to assist clients in realizing their full value and potential by bringing them to external capital and resources that place an emphasis on collaborative thinking. Furthermore, because Global Equity has offices in key financial centers of the world, they are able to introduce their clients to a unique opportunity of listing their shares on any one of the many stock exchanges worldwide.
Safe Harbor Statement
This press release may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements related to anticipated revenues, expenses, earnings, operating cash flows, the outlook for markets and the demand for products. Forward-looking statements are no guarantees of future performance and are inherently subject to uncertainties and other factors which could cause actual results to differ materially from the forward-looking statements. Such statements are based upon, among other things, assumptions made by, and information currently available to, management, including management's own knowledge and assessment of the Company's industry and competition. The Company refers interested persons to its most recent Annual Report on Form 10-K and its other SEC filings for a description of additional uncertainties and factors, which may affect forward-looking statements. The company assumes no duty to update its forward-looking statements.