Newport International Group│ Restricted Common Stock
Publisher: Jolly Bee
Published: 2013
Description: SOURCE Newport International Group, Inc.
Table of contents: title: http://www.prnewswire.com/news-releases/newport-international-group-enters-into-agreement-with-london-investment-company-for-the-purchase-of-58-million-shares-of-newports-restricted-common-stock-at-2-per-share-71532762.html; title: Newport International Group Enters Into Agreement with London Investment Company for the Purchase of 5.8 Million Shares of Newport's Restricted Common Stock at $2 Per Share; title: PALM DESERT, Calif., Aug. 5 /PRNewswire-FirstCall/ -- Newport International Group, Inc. (OTC Bulletin Board: NWPO) announced today that it has signed an agreement with a private investment company for the purchase by the investment company of approximately $11,600,000 worth of Newport's restricted common shares in exchange for shares of the investment company. The investment company is a newly formed London-based company that has applied for its shares to be admitted to trading on the London stock exchange as an investment trust. The investment company has been established specifically to invest in US micro cap companies with long term growth potential. The investment company expects its shares to be trading on the London Stock Exchange by September 30, 2004. Commenting on the agreement Cery Perle, CEO of Newport stated, "We at Newport believe that a liquid equity infusion of this magnitude when consummated, will enable us to execute on our business plan, seek out accretive acquisitions, and help us attempt to reach our goal of profitability in 2005. While the Company will always look to take advantage of opportunities that may include financing, this investment puts Newport in a position to significantly accelerate our marketing efforts and software releases in our attempt to rapidly expand revenues and build our markets." The investment company has entered into a "lock-up" agreement with Newport International Group pursuant to which it has agreed not to trade the Newport International Group shares it will receive as a result of this transaction for a period of two years from the closing date. In full payment for the shares of Newport International Group, the investment company will issue to Newport International Group USD $11.6 million equivalent of its shares at a price per share valued at One Pound Sterling. Fifty percent of the investment company's shares will be held in escrow for two years following their issuance and in the event the per share market price of the Newport International Group common stock at such time is less than the per share value of the Newport International Group stock at the time of the closing, the investment company shall be entitled to receive out of escrow a percentage of the shares equal to the percentage of such decline. The remaining shares held in escrow shall be released to Newport International Group at such time. The closing of this transaction is subject to certain contingencies, including the listing of the investment company shares on the London Stock Exchange on or before September 30, 2004. About Newport International Group, Inc. Newport International Group Inc. (OTC Bulletin Board: NWPO), through its subsidiary, GrassRoots Communications, Inc. (GRCI), provides reliable, affordable web conferencing and collaboration technology, previously affordable only to Fortune 500 companies. Offering fast, real-time collaboration, video, and voice, GRCLive saves time and improves the efficiency and effectiveness of business communication. More information at http://www.Newport-International-Group.com and http://www.GRCLive.com. Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this news release which are not historical facts may be "forward-looking statements" that involve risks and uncertainties which could cause actual results to differ materially from those currently anticipated. For example, statements that describe GRC's and/or Newport International Group's hopes, plans, objectives, goals, intentions, or expectations are forward-looking statements. The forward-looking statements made herein are only made as of the date of this news release. Numerous factors, many of which are beyond either company's control, will affect actual results.; title: SOURCE Newport International Group, Inc.