New America Agrees to Standstill Agreement with Preferred Shareholders

Rhea-AI Summary

New America Energy Corp. (OTC PINK:NECA) announced a 90-day standstill agreement with its convertible preferred shareholders. This decision aims to enhance shareholder value while the company focuses on acquiring additional assets and increasing revenue. CEO David Fair emphasized the importance of this strategy, stating that revenue is projected to rise and new acquisitions are being pursued in Utah, Arizona, and Texas. Third Bench, a subsidiary of NECA, is on track for $30 million in revenue for 2022 and is currently cash flow positive.

Positive

• 90-day standstill agreement allows NECA to focus on acquisitions without preferred share conversions.
• Third Bench projected revenue growth to $30 million for 2022, indicating strong operational performance.
• Two Letters of Intent submitted for acquisitions, potentially boosting NECA's asset base and revenue.

Negative

• None.

NEW YORK, NY / ACCESSWIRE / April 5, 2022 / New America Energy Corp. (OTC PINK:NECA), is pleased to announce that convertible preferred shareholders have agreed to a 90-day standstill agreement.

The Series C preferred shareholders of New America Energy Corp. have agreed to a 90-day standstill on any conversions of their preferred shares. Third Bench, a subsidiary of NECA, hopes to increase shareholder value during this time as it seeks additional acquisitions that add assets, revenue, and cashflow.

Third Bench, CEO David Fair stated, "Increasing value for all shareholders remains our top priority. We've been doing this through our acquisition strategy and felt the standstill would help in those efforts. I'm grateful to the preferred holders for agreeing to the standstill and we look forward to executing our plan throughout these 90 days."

Mr. Fair went on to add, "Revenue continues to increase, and it will be reflected in our next quarterly financial statements. As of today, we have two LOIs submitted and we are digging into due diligence on acquisition targets in Utah, Arizona, and Texas, with the goal of completing at least two acquisitions during the calendar year 2022. We believe our strategy along with the strong economic trends will bring significant value to our shareholders."

About Third Bench Holdings, LLC

Third Bench Holdings, a subsidiary of New America Energy Corp., operates five subsidiary companies operating as architectural millwork and dealers in the cabinetry, kitchen, and bath areas. Third Bench, through its subsidiary companies, offers products in these categories: residential cabinets and countertops and commercial millwork throughout the Western U.S. for customers from California to Texas. Third Bench also provides installation services as a part of its vertical offering. Third Bench employs over 150 people and had revenue of about $24 million in 2021. Third Bench is on a run rate of $30.0 million for 2022 and is cashflow positive. These projections have been provided by management and do not include the additional acquisitions that are currently under review.

Third Bench Holdings
175 S. Main Street #1410
Salt Lake City, UT 84111
https://thirdbench.com/

NECA Contact:
Investor Relations
info@thirdbench.com
https://twitter.com/necaholdings

NOTICE REGARDING FORWARD-LOOKING STATEMENT

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements that include the words "believes," "expects," "anticipate" or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance, or achievements of the company to differ materially from those expressed or implied by such forward-looking statements.

SOURCE: New America Energy Corp.

View source version on accesswire.com:
https://www.accesswire.com/696032/New-America-Agrees-to-Standstill-Agreement-with-Preferred-Shareholders

FAQ

What is the recent news about New America Energy Corp. (NECA)?

New America Energy Corp. announced a 90-day standstill agreement with its convertible preferred shareholders to enhance shareholder value while pursuing acquisitions.

How does the standstill agreement affect NECA shareholders?

The standstill agreement allows NECA to focus on acquisitions without the immediate pressure of preferred share conversions, potentially benefiting shareholder value.

What are the revenue projections for Third Bench in 2022?

Third Bench is projected to achieve $30 million in revenue for 2022, showing strong growth.

What acquisitions is NECA planning?

NECA is currently pursuing acquisitions in Utah, Arizona, and Texas, with two Letters of Intent already submitted.