GLOBAL EQUITY INTERNATIONAL, INC. (OTCMKTS:GEQU) Files An 8-K Entry into a Material Definitive AgreementItem 1.01 Entry into a Material Definitive Agreement.
On November 20, 2017, Global Equity International, Inc. (“Company”) entered into a Funding Agreement with William Marshal Plc., a company incorporated under the laws of the United Kingdom (“Lender”), to which the Lender agreed to loan the Company a minimum of £2,000,000 (approximately US$2,636,000). The loan will be funded in one or more tranches beginning the first week of December 2017. The proceeds of the loan will be used by the Company to acquire up to four financial advisory firms, based in the United Kingdom, Isle of Man and South East Asia.
The first two financial advisory firms are located in the United Kingdom (“UK”) and the Isle of Man, respectively. The UK based firm has approximately US$51,000,000 in funds under management and the Isle of Man based firm has approximately US$39,000,000 in funds under management.
The third and fourth acquisitions are South East Asian based financial advisory firms with a similar amount of funds under management to the UK and Isle of Man entities, which when acquired, will give our Company an initial combined $180,000,000 of funds under management, a client base into the thousands, a small but highly effective distribution force, 20 more staff and a true regulatory diversification with a second footing in the ever expanding Asian markets.
All four of these firms have been in business for several years. Letters of intent have already been agreed and signed and we intend to enter into definitive acquisition agreements for these four firms in the very near future.
The capital funding will mainly be deployed to acquire the four advisory firms and some of the proceeds of the loan will be used for reduction of our indebtedness and for our general working capital purposes.
Each tranche of the loan will be evidenced by a Convertible Note, bearing interest at 6% per annum. Interest on the Convertible Notes is payable semi-annually. The first semi-annual interest payment shall be made in cash or, at the option of the Lender, in shares of our Common Stock at the conversion price indicated in the Convertible Notes. The Convertible Notes will mature on the 366th day following issuance (“Maturity Date”). The principal and any accrued, but unpaid, interest outstanding on the Maturity Date shall be mandatorily converted into shares of our Common Stock.
The conversion price under the Convertible Notes shall be equal to the greater of US$0.02 or the average closing price of Borrower’s Common Stock on the Over-the-Counter Bulletin Board for the prior 60 trading days (subject to equitable adjustments for stock splits and similar events). A “trading day” shall mean any day on which the Common Stock is tradable for any period on the stock exchange on which the Borrower’s Common Stock is traded or quoted.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits – See “Exhibit Index” set forth below.
to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Dated: November 21, 2017
| GLOBAL EQUITY INTERNATIONAL, INC. | |
| By: | /s/ Enzo Taddei |
| Enzo Taddei | |
| Chief Financial Officer |
EXHIBIT INDEX
List of Exhibits attached or incorporated by reference GLOBAL EQUITY INTERNATIONAL INC ExhibitEX-10.1 2 ex10-1.htm Exhibit 10.1 FUNDING AGREEMENT This FUNDING AGREEMENT (“Agreement”),…To view the full exhibit click here
About GLOBAL EQUITY INTERNATIONAL, INC. (OTCMKTS:GEQU)
Global Equity International, Inc. through Global Equity Partners Plc (GEP) and its subsidiary GE Professionals DMCC, provides consulting services, such as corporate restructuring, advice on management buy outs, management recruitment and development for corporate marketing, investor and public relations, regulatory compliance and introductions to financiers, to companies desiring to be listed on stock exchanges in various parts of the world. The Company’s operations are limited to insuring compliance with regional, state and national securities regulatory agencies and organizations. The Company advices and assists its clients in determining the corporate structure, which is suitable to their business models. The Company recommends management changes as per necessity. The Company also offers corporate governance models customized to specific organizations and desired exchange listings. The Company reviews and analyzes balance sheets and capital structures.
