Echo asking previous note holders if they would like to participate in a $250,000 bridge loan at 18% interest. Due date anytime after Dec 10, 2016.
First thing comes to mind is if it can be called in 3 weeks why wouldn't the parties in negotiations give them the money. They would be getting 18% on their money.That's unless the parties will not come to an agreement with echo wherebye echo could be at default of the loan. That could lead to filing bankruptcy.
I find it very interesting that the parties in negotiations with Echo who would fund echo Millions if they come to to terms would not want to loan them $250,000.
Bottom line echo could not pay the loan if called on Dec. 11, 2016 unless echo closes the deal or someone else would come to the rescue to pay off the loan.
On a wild guess echo needs the money to keep the doors open and to pay the lofty salaries including Hollander severance deal.Its been 3 months since echo has started negotiations and no solution. During that time Echo received $375.000 in loans and asking for another $250,000.
Do not forget the first loan of $250,000 can be called in jan 2017.
Just maybe the parties decided it might be more favorable for them if echo filed bankruptcy. So far all the funds they raised thus far this year went down the drain and could not show anything to the shareholders except giving hundreds of thousands in stock and options to the officers and board members and I quote for doing such a wonderful job. It is understandable as to why no one at Echo since May, six months ago does not want to have a conference call with the shareholders.If I was a shareholder I would make them accountable.
