GNCC Capital, Inc. - Now Confirms Very Significant And Immediate Restructuring

LAS VEGAS, Aug. 27, 2019 /PRNewswire/ -- GNCC Capital, Inc. (GNCP.PK) ("The Company" or "GNCC") advised our shareholders on August 21, 2019, see Press Release: https://www.otcmarkets.com/stock/GNCP/news/GNCC-Capital-Inc----Corporate-Actions-Demanded-By-Majority-Of-Companys-Shareholders?id=237967.

Further to that advisement, the current Company's Directors confirm as follows:-

1. The Company will be invested only in the Cannabis Sector by commencement of business next week.
2. Final contracts are finalized which will result in the sale of the Company's Mining Exploration Interests; to be concluded by this week, at the latest, by Friday.
3. The majority of the issued and outstanding secured shares of Series "A" and "C" Convertible Preferred Stock, totaling $25.5 million are being cancelled.
4. Dividends on all of the remaining various Classes of Preferred Stock are now eliminated for a period of five years.
5. The elimination of all Long Term Liabilities totaling $6.3 million as at Q3 has been agreed upon and will not be accounted in the Year End of the Company.
6. There will be no further issuances of shares of any classes of our Convertible Preferred Stock.
7. There is now a reconstitution of the Board of Directors and by this weekend. Mr. N E Blom will resign as the Company's President and will be the Company's Non-Executive Chairman. A new full time President/Chief Executive Officer and an additional Executive Director will be assuming day to day operational control of the Company; by this weekend. The new Executive Directors have significant experience and expertise in the Cannabis Industry. The Company's Executive Chairman, Mr. R Y Lowenthal will be resigning from the Company's Board of Directors and will no longer be affiliated with the Company.
8. A significant transaction that definitely has the support of the majority of shareholders is being finalized. This transaction will not involve the issuance of any shares of Common nor Preferred Stock. Existing shareholders of Preferred Stock have indicated their willingness to surrender a portion of their shareholdings in order to facilitate this transaction. Furthermore, we can confirm that the financing for this transaction is secured.
9. That no Reverse Split of the Company's Common Stock will be permitted under any circumstances whatsoever; and for a period of not less than three years.

To summarize:-

• We can confirm that certain of these Preferred Shareholders will be in a position to vote in excess of 51% of the outstanding shares of Common Stock and will ratify all of these corporate actions by no later than this week, Thursday.
• That we, upon our receipt of these approved Shareholder Resolutions, will immediately advise our Shareholders by Press Release.
• That on Tuesday September 3, 2019 and prior to the market open, we will publicly announce and file all of the contractual arrangements as above-mentioned. This is solely due to Monday being a USA Holiday.
• All Cannabis transactions that were being explored by the current Directors will now be decided upon by the new Board of Directors.
• Commencing next week, all communication with shareholders and the public will be communicated by the Company's new Board of Directors.
• The majority of our shareholders want complete transparency, proactive engagement and guidance from Management; with a complete and accurate understanding of the Company's business interests; and its immediate and long term objectives. Hence, our appointing the new Executive Directors.

Forward-Looking Statements:-

This press release may contain forward-looking statements. The words "believe," "expect," "should," "intend," "estimate," "projects," variations of such words and similar expressions identify forward-looking statements, but their absence does not mean that a statement is not a forward-looking statement. These forward-looking statements are based upon the Company's current expectations and are subject to a number of risks, uncertainties and assumptions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Among the important factors that could cause actual results to differ significantly from those expressed or implied by such forward-looking statements are risks that are detailed in the Company's filings, which are on file with the OTC Markets Group.

SOURCE GNCC Capital, Inc.