Decision Paves the Way for Significant Cost Savings and a Radical Focus on Value Creation
NEW YORK, NY / ACCESSWIRE / January 14, 2019 / uSell.com (OTCQB: USEL), a large market maker of used smartphones, has filed a Form 15 with the Securities and Exchange Commission ("SEC") under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), to suspend its reporting obligations under the Exchange Act.
The Company expects that the termination of its duty to file reports with the SEC will become effective within 90 days. However, as a result of the filing of the Form 15, the Company's reporting obligations with the SEC to file its annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K are suspended immediately. The Company believes that the filing of the Form 15 will significantly reduce expenses associated with the preparation and filing of periodic reports with the SEC. The Company plans to continue to disclose its financial statements on a quarterly and annual basis through the OTC Markets reporting service.
The Company's common stock is currently traded on the OTCQB, operated by OTC Markets Group, a centralized electronic quotation service for over-the-counter securities. The Company expects that its common stock will be traded on the OTC Pink Market also operated by OTC Markets Group, so long as market makers demonstrate an interest in trading in the Company's common stock. However, there is no assurance that trading in the Company's common stock will continue on the OTC Pink Market or on any other quotation medium.
The decision of the Company's Board of Directors to suspend its reporting obligations was based on the consideration of numerous factors, including the large costs of preparing and filing periodic reports with the SEC, the increased outside accounting, audit, legal and other costs and expenses associated with being a public reporting company, the burdens placed on Company management to comply with reporting requirements, and the low trading volume in the Company's common stock.
Nik Raman, Chief Executive Officer, commented, "After the series of deals that we executed at the end of last year, the Company’s path to value creation has become clear. The decision to suspend reporting with the SEC is in line with our commitment to create shareholder value through both expense reduction and a radical focus on the expansion of our online platform."
About uSell.com, Inc.
uSell.com, Inc. is a large market maker of used smartphones. uSell acquires products from from major carriers, big box retailers, and manufacturers through its subsidiary, We Sell Cellular, LLC. The Company maximizes the value of these devices by reclassifying them, adding value to them, and moving them throughout the world to those who want them most. In order to serve its global and highly diverse customer base, uSell leverages both a traditional sales force and an online marketplace where professional buyers of used smartphones can buy inventory on-demand. Through participation on uSell’s online platform and through interaction with uSell’s salesforce, buyers can acquire high volumes of inventory in a cost effective manner, while minimizing risk.
Chief Executive Officer
SOURCE: uSell.com, Inc.