GNCC Capital Inc (GNCP)

[tommyedwards]

GNCP...So once again, let's remind shareholders and prospective investors of just a fragment of what's on the table for GNCP and the complexities the GNCP Directors are faced with while navigating through these uncharted territories of the new "Wild West" cannabis and hemp sectors...

https://www.prnewswire.com/news-releases/gncc-capital-inc-cautions-shareholders-on-potential-material-events-300870997.html

The Company was restored last week to that of "PINK CURRENT" on the OTC Markets.

Following the Company regaining its status on the OTC Markets, the due diligence and negotiations in respect of certain transactions under consideration were immediately re-commenced. To that end, the Company reasonably expects to provide further details without any further delays. These transactions are solely in the Hemp and Cannabis Sectors. Shareholders should appreciate that your Company's Directors are conducting far more exhaustive due diligence than is usual. This is to not only protect the Company; but its Directors and our shareholders.

We will go so far as to state as follows: That in the prevailing "Wild West" environment currently flourishing in both the Cannabis and Hemp Sectors, there are many unscrupulous "bad actors" whom attempt to inundate Public Company Management with transactions and to then deliberately misrepresent facts in an attempt to convince the Directors of Companies of the merits of such deals being brokered by themselves. Companies such as ourselves are prime targets for these predators. Those whom prey in this current climate do so solely for their own exclusive benefit and if they remain unchecked; are a very serious threat to any Company, its Directors and indeed, to shareholders.

This is the primary reason for your Company's Directors being extremely vigilant in their due diligence. This being in respect of each and every transaction being brought to the Company. Your current Directors intend to continue to serve shareholders until such time as the best possible outcome is achieved in respect of the Company's Mining Exploration Interests. They will continue to honor their fiduciary duties to the best of their abilities in respect of all transactions of whatsoever nature; and very particularly in any of the proposed Cannabis and Hemp Sector transactions.

We can now confirm that an external advisor is examining the prospect of the Company embarking upon what would be a large project with immediate significant revenues and cash flow. The Project is retail related and includes "value added" Hemp based products. This will require significant financing if we elect to proceed. Such financing would be through commercial loans secured over this Project's assets as well as the use of other conventional financing methods. No shares of the Company's Common nor the Preferred Stock would be issued whatsoever to secure anything whatsoever; this pertaining to both this Project and the financing thereof.

However, our advisers have presented us with an extremely valid and very possible workable restructuring proposal which would address and deal with a number of issues including but not limited to our Mining Exploration Assets, the Preferred Stock structure and our shareholder concerns in respect of potential Preferred Stock conversions and subsequent dilution.

This, if enacted, will result in very material events being implemented and in fairly short order.

In the interim, it is business as usual as we continue to review and evaluate the options that relate to this restructuring proposal.

No restructuring plans nor any corporate actions will result in a Reverse Split of our Common Stock as we view that as toxic and not in our shareholders' interests.

The Company's Directors also want to take this opportunity to remind our shareholders that our accounting policy for years was not to capitalize any value of our Mining Exploration Interests on our Balance Sheet and always took full Impairment Charges. Therefore speculation as to our valuation in respect of the value of these interests is pointless pending guidance from ourselves.

The Company will be providing an update that relates to specific issues raised by our shareholders; insofar as they are unrelated to our potential acquisitions, transactions and as to the proposed restructuring.

We will continue to now provide further updates to our shareholders as material events warrant further disclosure.