Deal guy...Ecos (the public corporation) does not own any of the proprietary technology, patents or other IP related to these digesters. To my knowledge, ECOS has never even published a license agreement with the Korean Company that does own everything. LRS is to receive an additional 5% ownership of the BIO-Art LLC for each machine they buy up to 8 (they will own 40% of ECOS Bio-art LLC after 8 machines are installed). They then have an option to purchase another 11% for cash for a 51% controlling interest. It doesn't appear they have an option to buy 51% after just one machine? Of course, agreements can always be amended. 8 operational machines could take quite some time to complete, so I don't see them having a need, desire or advantage, to rush a purchase of BIO-art. Whether ECOS (the public corporation) becomes re-registered with the SEC or not?
The original calculation of a 13% ownership in ECOS, via the warrants, would probably now only be around 5%, as the O/S has more than doubled since then. Since ECOS has only liabilities and no assets, that 5% is not worth much.
GLTY and JMO
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