Quality Industrial Corp. Comments on OTC Markets actions
Quality Industrial Corp. (QIND) announced its transfer from the OTCQB to the Pink Current market, effective September 15, 2022. This action was prompted by a recent acquisition and the company’s ongoing efforts to comply with OTC standards. Despite the move, company management maintains that it will not hinder business operations or growth plans. However, they expressed concerns over the lack of communication from OTC Markets regarding the transfer and the implications for shareholders, indicating potential legal action. The company remains optimistic about future developments.
- Management believes operational and growth plans remain unaffected by the market transfer.
- The company is fully compliant with OTC standards, responding timely to requirements.
- The abrupt decision by OTC Markets may disrupt shareholder confidence.
- OTC Markets noted potential changes to the company's share structure due to ongoing acquisitions.
SAN FRANCISCO, CA / ACCESSWIRE / September 15, 2022 / Quality Industrial Corp. (OTC PINK:QIND), was at 2.19 pm EST on September 14th informed by OTC Markets that the company will be moved from the OTCQB market to the Pink Current market effective September 15, 2022.
The company reapplied to OTC Market as per OTC market standards on June 16th due to the change of control announced June 2nd where Ilustrato Pictures International Inc; (OTC: ILUS) acquired the control position of the company. The company is fully compliant and has responded to all requests from OTC markets in a timely manner with the required information.
Notwithstanding, OTC Markets yesterday informed the company without prior notice and time to remedy, that the company would be moved to the Pink Current market, effective from September 15, 2022. The decision was based on the company's pending acquisition of Quality International Co Ltd FCZ, whereby a Binding Letter of Intent has been signed as confirmed by the company's filing, and the respective attorneys for both parties are now ironing out the terms of the Securities Purchase Agreement for completion of the acquisition. OTC Markets stated that "the acquisition may result in a significant change to the company's share structure, control persons, and financing arrangements. For this reason, we determined to not proceed with processing the OTCQB application until the acquisition is completed or otherwise concluded."
OTC Markets expects QIND to prematurely adjust the company's share structure by prematurely creating and modifying the designations of the preference categories before finalization of the Share Purchase agreement. These preference categories are subject to variances such as without or without voting rights and/or with or without dividends etc. These aspects cannot be confirmed prior to the final Share Purchase agreement being ready for signature and while the attorneys for both parties are finalizing the details, which includes the final number of preference shares to be issued. This is a completely unreasonable requirement and OTC Markets as it's a current judgement call on a future activity and they have not allowed any opportunity for discussion and clarification on the matter. QIND is also in the process of completing additional deals, with these expected to close soon, therefore QIND's management must consider these factors to ensure that the correct issuance of preference shares without creating duplicate work or confusing actions for shareholders. QIND has been and continues to remain fully compliant with all aspects of OTCQB qualification.
QIND Chairman, Nick Link, commented: "Whilst this matter has no direct impact on our operating business and growth plans, including our ability to execute the deals we are busy with, we know it can cause unjust harm to our Shareholders and it is unreasonable that the OTC would act so unprofessionally, without providing sufficient time for discussion or adequate warning of their impending thought process. It stands to reason that we are considering legal action. We expect to be moved to OTCQB again once the relevant disclosure is provided or sooner should OTC Markets come to their senses before then. We will urge OTC Markets to handle the reapplication swiftly to ensure shareholder protection and we are extremely confident about the short, mid, and long-term success of the business and shareholder value."
This Press Release does not constitute an offer of any securities for sale.
FORWARD-LOOKING STATEMENTS
This press release contains statements of a forward-looking nature about the Company. You can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "future" or other similar expressions. The Company has based these forward-looking statements primarily on the Company's current expectations and projections about future events and financial trends that the Company believes may affect Company's financial condition, results of operations, business strategy, and financial needs. There is no assurance that the Company's current expectations and projections are accurate. All forward-looking statements in this press release are based on the Company's information on the date hereof. These statements involve known and unknown risks, uncertainties, and other factors that may cause the Company's actual results to differ materially from those implied by the forward-looking statements. The Company operates in a rapidly evolving environment. New risk factors emerge from time to time. The Company does not undertake any obligation to update or revise the forward-looking statements except as required under applicable law. This press release does not constitute or form part of any offer or invitation to purchase, otherwise acquire, issue, subscribe for, sell, or otherwise dispose of any securities, nor any solicitation of any offer to purchase, otherwise acquire, issue, subscribe for, sell, or otherwise dispose of any securities of the Company. The release, publication, or distribution of this announcement in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this announcement is released, published, or distributed should inform themselves about and observe such restrictions.
CONTACT
Quality Industrial Corp.
315 Montgomery Street, San Francisco
CA 94104, USA
Phone: +1-800-706-0806
Email: info@qualityindustrialcorp.com
Investor site: https://qualityindustrialcorp.com
Twitter: @ QualityIndCorp @ILUS_INTL
SOURCE: Quality Industrial Corp.
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FAQ
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