From last 10Q as of Sept 30:
As of September 30, 2008, our operating activities have involved identifying suitable portfolio investments, negotiating investment terms, entering into investment agreements and undertaking due diligence. We also completed additional fund raising activities to support our portfolio investment activities through a Regulation E offering. We filed a Form 1-E notice and offering circular with the SEC in December 2007, which became effective in January 2008 and sold a total of 1,603,475 common shares for net proceeds to the Company of $473,025 through October 15, 2008. That offering has now terminated, but the Company anticipates filing a new Regulation E notice in the near future to raise additional capital for its portfolio investment activities. Under Regulation E, a business development company can offer and sell up to $5,000,000 in value of its stock in any consecutive, rolling 12 month period so long as the provisions of Regulation E are met.
As a result of these activities, our investment advisor, United EcoEnergy Advisors, LLC, recommended to our Investment Committee that the Company undertake portfolio investments in City 24/7, LLC and Shelby Super Cars, Inc. The Investment Committee of the Board of Directors met to consider each of these separate investment recommendations, and after considering the companies, their operations, business model and other relevant factors, approved the recommendation of the investment advisor for approval by the entire Board of Directors. At subsequent meetings of the Board of Directors, both of these investment recommendations were approved.
The Company has entered into an investment agreement to acquire a 22.5 percent ownership interest in City24/7 LLC for $750,000. City 24/7 has partnered with a Fortune 100 telecommunications company to launch a new information system built to reinvigorate the existing payphone structure. The completely interactive "Super Booth" will broadcast locally relevant information and advertising in targeted locations across the country, starting in New York City. While the due diligence process continues, the Company advanced a loan of $100,000 to City 24/2, LLC in September 2008 and another $150,000 in October, 2008. Both loans are due in December, 2008, bear interest at 12 percent per annum, and are secured by the assets of City 24/7, LLC. The principal and interest due on the loans will offset the investment amount due at closing on the portfolio investment.
The Company also has entered into an agreement to acquire an up to 35 percent stake in Shelby Super Cars, Inc (SSC). SSC, an all-American auto manufacturer based in West Richland, Washington, has solidified its place in history with the production of the Ultimate Aero Supercar currently holding the Guinness World Record title of the ?Fastest Production Car in the World,? Additionally, SSC is working on the Ultimate Aero EV ? a 100% Green Supercar which it hopes will set the benchmark for the ?world?s fastest electric car.? UEEC will be investing $1 million of its stock in SSC in exchange for 5% of SSC?s shares at the closing of the investment agreement, 25% of SSC?s shares in exchange for investing $5,000,000 and another, up to 5% of SSC?s shares when the $5 million investment is completed.