Toronto, Ontario--(Newsfile Corp. - April 30, 2014) - GC-Global Capital Corp. ("Global Capital") (TSX-V: GDE.A) announces its financial results for the year ended December 31, 2013. Fiscal 2013 was a year of major transition for the Company.
We recapitalized the Company in late 2013 (gross proceeds of $3.07 million) and early 2014 (gross proceeds of $1.0 million) for a total of $4.0 million of new capital financings. "Our financial statements reflect deliberate changes made in virtually every aspect of our business. Despite the net losses, the majority of which resulted from the equity loss from the investment in Marathon Mortgage Corp. and the bankruptcy of Tanenbaum Landscape and Design Inc., we feel that we are prepared to become a profitable and relevant merchant bank in the Canadian marketplace in 2014," said Jason Ewart, CEO of GC Global Capital Corp. He added "The new capital raised in late 2013 and 2014 has been deployed into previously announced transactions that we believe will begin to show positive results in the second quarter of 2014, which we look forward to announcing in a timely manner."
The new funds were deployed into previously announced transactions in late 2013 and early 2014 such as Poydras Specialty Finance Corp (October, 2013), Advantagewon Inc. (December, 2013) and Advantagewon Oil Corp. (January, 2014).
In 2013, the Company announced its intention to spin-out a wholly-owned subsidiary real estate investment company, GC Marathon Financial Corp. ("GCMFC") in the form of a return of capital share distribution to the Company's shareholders. The spin-out is intended to give the shareholders a direct interest in GCMFC's Canadian real estate market focused investments which includes Marathon Mortgage Corporation ("MMC"). In early 2013, Marathon Mortgage Corporation ("MMC") received its CMHC (Canada Mortgage and Housing Corporation) and Genworth Canada lenders status.
2013 Audited Financial Statements and MD&A
A full set of the 2013 audited financial statements and the Management Discussion & Analysis will be filed today on SEDAR.
Global Capital's shares trade on the TSX Venture Exchange under the symbol "GDE.A".
Forward-Looking Information
These materials include certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Other than statement of historical fact, all statements in this material, including, without limitation, statements regarding fair values of marketable securities, investments, bridge loans, convertible debentures, estimated asset retirement obligations, and future plans and objectives of the Company, are forward-looking statements that involve various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date of these materials. Important factors that could cause actual results to differ materially from the Company's expectations include, without limitation, the level of bridge loans completed, the nature and credit quality of the collateral security, the sufficiency of cost estimates for remaining reclamation obligations as well as those factors discussed in the Company's documents filed from time to time with the TSX Venture Exchange, Canadian securities regulators and other regulatory authorities. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by this notice.
About GC-Global Capital Corp.
Global Capital is a merchant bank which provides bridge loan services (asset back/collateralized financing), to companies across many industries such as oil & gas, mining, real estate, manufacturing, retail, financial services, technology and biotechnology. For further information, please contact Jason G. Ewart at (416) 488-7760 or visit our website at www.gcglobalcapital.ca.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
