BRK Announces Launch of the Growth Phase of Its Long-Term Strategy With Equity Investment From Intrepid Management
HENDERSON, Nevada, June 9, 2020 /PRNewswire/ -- BRK, Inc. (the "Company") (OTC: BRKK) (OTC: BRKKD) wishes to inform its shareholders that it has sufficiently restructured and recapitalised so as to proceed aggressively into the growth phase of its long-term strategy.
Following the successful implementation of the FINRA approved 1m:1 with 100 share minimum reverse split, outstanding shares stand at 262,372. Management will shortly be awarding an additional 300,000 restricted shares to both align and retain key personnel. The shares will come with a 12-month no sell restriction. The share reward will also extinguish any claims for accrued salaries and related liabilities.
As part of its focus on driving shareholder accretive growth, effective immediately, Mr. Michael Kovacocy will move from his now discontinued role as Head of Recapitalization and Restructuring Initiatives and Investor Relations into the new position of Head of Corporate Development and Investor Relations.
In its final restructuring act, management will institute an across the board reduction in salaries of 25%. This move will address the interests which have been voiced by both loyal long-term shareholders and our new strategic capital partners - ensuring that capital efficiency is optimized.
As a further control to safeguard long-term shareholder value and impose structural discipline on usage of and deployment of capital, authorized shares have been reduced from 5 billion to 5 million. Management believes that with this move, the capital profile of the company now allows for an optimal relationship with the capital markets supporting future up-listings and enhanced shareholder value. Coupled with the size of our current outstanding share base, market participants and long-term investors will have sufficient liquidity to participate in our equity structure.
Finally, as BRK launches into the growth phase of its long-term strategy, management is pleased to announce that Intrepid Management has executed an investment of $200,000 into BRK in straight exchange for 40,000 restricted common shares valued at $5 per share. The shares will be identical to those issued to management with a 12-month no-sell restriction. Furthermore, BRK has granted Intrepid a 30-day option to invest a further $50,000.00 in straight exchange for 5,000 restricted common shares valued at $10 per share, also with a 12-month no sale restriction. Mr. Michael Kovacocy, Head of Corporate Development and Investor Relations stated: "Intrepid has been a key partner in our successful efforts to eliminate onerous debt. With this investment, we solidify our relationship as we look to immediately execute on material initiatives which will transform BRK into a company offering substantial intrinsic value as a growing ongoing entity. The total outstanding share count following the reverse split, management share grant and Intrepid equity investment will equate to 602,372. It is our intent to finance our growth out of both operational cash flow and selective access to capital markets on shareholder accretive terms."
Mr. Daniel Serruya, CEO of BRK further commented: "This alignment between management and shareholders creates an equitable foundation across the share base so as to allow the company to engage with the capital markets and drive operational and strategic initiatives forward and to deliver as much shareholder value as possible. Management would like to thank our long-term shareholders and Intrepid for being part of our transformation. Our current expectation for the first year of our aggressive growth plan envisions a revenue run-rate in excess of $10m from ongoing operations, excluding litigation recoveries. Your continued support and confidence in BRK, Inc. is helping us build a robust company, one whose future has never been brighter."
BRK Inc. (OTC PINK: BRKK), established in 2008, is owner of the Helmet Camera intellectual property (patents-pending) that make the RefCam possible. With the acquisition of the live broadcast helmet camera patent, BRK is poised to enter sports marketing in a big way. iSee Sports Inc. is a wholly owned subsidiary of BRK, Inc.
The foregoing contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are intended to be covered by the safe harbor provisions of the federal securities laws. Forward-looking statements often contain words such as "will," "anticipate," "believe," "plan," "estimate," "expect," "intend," "is targeting," "may," "should," ''poised,'' and other similar words or expressions. Forward-looking statements are made based upon management's current expectations and beliefs and are not guarantees of future performance. Our actual business, financial condition or results of operations may differ materially from those suggested by forward-looking statements as a result of risks and uncertainties which include, among others, those described in any of our other filings with the SEC. In addition, such statements could be affected by risks and uncertainties related to: (i) commercialization of our newly-acquired helmet camera, (ii) continuing development and protection of our intellectual property, (iii) unexpected industry competition, (iv) the need to raise capital to meet business requirements, and (v) our ability to sell our products in order to generate revenues. Forward-Looking Statements are pertinent only as of the date on which they are made, and the company undertakes no obligation to update or revise any Forward-Looking Statements, whether as a result of new information, future developments or otherwise. Any future public statements or disclosures modifying any of the forward-looking statements contained in or accompanying this news release, will be deemed to supersede such statements in this news release. Information on BRK Inc.'s website, http://www.brkincorporated.com does not constitute a part of this release.
Contact:
shareholder@brkincorporated.com
1-855-702-8275
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SOURCE BRK, Inc.
