IBCX great news out! This is an absolute no brainer bounce off .0001 bottom. By their estimates $600M value divided by 800M shares .0075. Should see some bottom buster activity today imo.
IBAC Corporation Updates the Pending Sale of Their Florida Restaurants and Other Issues
Feb 15, 2007 3:25:00 AM
Copyright Business Wire 2007
NEW YORK--(BUSINESS WIRE)--
IBAC Corporation (IBCX.PK), sole owner of The Sanibel - Palms Steakhouse and Cozze in Florida, announced today that it expects the previously announced sale of the two restaurants to be completed as previously announced.
The company has ceased operations of its Cozze operation (pending its sale) as a money saving move as the location was just not cash flowing per the company's requirements. The pending buyers of the property were made aware of this decision and had no issues with it, as they intend to renovate and change the restaurants concept. IBAC bought the property in May of last year and encountered a significant decrease in sales due to several issues including staffing, the opening of a new major mall a half a mile down the road with many nationally branded restaurants.
The company after completion of the sale of their restaurants will still have its majority ownership in the Memphis Days Inn Hotel & Restaurant and will also be evaluating its operations and most likely put it up for sale also.
It is the intent of the company (IBAC) to exit the hospitality industry with significant (as much) cash to reorganize its business and invest in more profitable and less risky businesses. The company has suffered a series of significant losses (in the fourth & first quarter) with the closing of its Royal Arkansas Hotel and other operating losses; the cash the company expects to end up with will be approximately $6,000,000 (six million dollars by its estimates).
"The company has worked very hard to build a profitable and viable hospitality business, we now realize that it must change its business model to succeed, the company believes with the current share structure and current equity in its properties (to be converted to cash) that it is extremely undervalued, 800,000,000 shares divided by $6,000,000 dollars should reflect a significantly greater share price, the current market cap for the company is $80,000 at the bid is significantly less than we paid for one restaurant and is less than the company's monthly payroll , the company will regroup and become stronger and more profitable and carry out its stated business plan since day one a profitable fully reporting company," said Wayne Burmaster, President & COO IBAC Corporation.
AI
