Q3 FY 2025 Feb. 14. 2025 CC: Q&A session... Is the time line for uplisting to NASDAQ or acquisition merger still on track to be around August 2026?
No. Alright. So let me let me, take a minute and talk about Nasdaq and and Merchant acquisition. We have been setting that as a goal for years now. And, the the first few months I joined the company, our previous chairman, who is extremely knowledgeable and well connected in the industry, took me to a, a New York, entity that wanted us to go to Nasdaq and have a reverse split and and even have, have us on the Israeli exchange.
And I said no because then I believe then as I believe till recently that, rushing to do something like this is extremely detrimental to the stockholders. Now things are different. We have turned Elite around. We went from a company that almost went bankrupt because the FDA and got turned down on the, our technology, And we turned things around and now we're a viable company that has profits and revenues and we are a leader in the industry in some of these products. Our fundamentals are strong and this is the time for us to seek out mergers and acquisition or Nasdaq.
So what would be the first step if we're gonna do that? The first step would be, you will sign up with a world renowned company. The top companies in in the country, Jefferies, JPMorgan, Wells Fargo, Bank of America, among others.And believe me, I've talked to them all . Then if you sign up with one of them, they will bring you suitors.
Then when the management first line management, my senior staff and I listen to these people and see that the the offer is viable, it goes to the, or we have offers that that, to entertain. It goes to the next level, which is the board of directors. Board of directors approve it. It'll go to you, the stockholders. The stockholders approve a a, the purchase, the sales acquisition, then it'll go to the SEC, and that will be it.
If we go through this process and we either don't get the right offer or we reject the offer, then the next step is Nasdaq. We have the fundamentals. We have everything that we need to go to Nasdaq. We cannot go to Nasdaq without a reverse split. K?
Now I am not as concerned because we do have fundamentals. Before, any hit, any little blip, and we would have gravitated back to the bulletin board. But now we are a strong company with current products that will last for a long time to come and future products that are in the pipeline. So we have a business continuity, and I do think we can withstand Nasdaq right now. So whatever happens is gonna go exactly in this this these two points that I outlined.
And the reason I said no to the last question is the time line for uplisting to Nasdaq or acquisition merger in August 26.It's not.The time is very near. We need to work on it now.Thank you, Matthew, and thank you, ladies and gentlemen. - CEO Nasrat Hakim
Note: Transcription Errors: Merchant = Merger
Cleaning Up the books!!!
Got a question on will the Hakim and Kaske promissory notes be paid at the end of the fiscal year?
Remember the fiscal year ends March 31, those are due on March 31. They're actually due in the first quarter of the next fiscal year and our plans are that we will pay those amounts, which total $4,000,000 when they come due, which will be in the Q1 of the 2026 fiscal year. --- CFO Carter Ward (Q3 FY 2025 CC)
Note for newbies: Q1 FY 2026 starts 43 Days from today.
NOTE 7. RELATED PARTY LOANS PAYABLE --- SEC Q3 FY 2025 page F15
The Company has entered into a collateralized promissory note with individual lenders with rates comparable to the EWB Term Loan but with fewer covenants (the “Hakim Promissory Note”). These covenants include filing timely tax returns and financial statements, and an agreement not to sell, lease, or transfer a substantial portion of the Company’s assets during the term of the Hakim Promissory Note. On June 2, 2023, the Company entered into a Promissory Note with Nasrat Hakim, CEO and Chairman of the Board of Directors, pursuant to which the Company borrowed funds in the aggregate principal amount of $3,000,000. The Hakim Promissory Note has an interest rate of 9% for the first year and 10% for an optional second year and the proceeds were used for working capital and other business purposes. The original maturity date of the Hakim Promissory Note was June 2, 2024, with an optional second year extension. The second year extension was exercised pursuant to the terms of the Hakim Promissory Note.
On June 30, 2023, the Company entered into a collateralized promissory note with Davis Caskey (the “Caskey Promissory Note”). The Caskey Promissory Note has a principal balance of $1,000,000 and an interest rate of 9% for the first year and 10% for an optional second year. The Caskey Promissory Note is subject to the same covenants as are contained in the Hakim Promissory Note. The proceeds will be used for working capital and other business purposes. The original maturity date of the Caskey Promissory Note was June 30, 2024, with an optional second year extension. The second year extension was exercised pursuant to the terms of the Caskey Promissory Note.
First Hint of M&A Due Diligence Started? Q1 FY 2025 Aug. 15, 2024 CC:
Everyone I speak to regarding Elite financials, they evaluate the warrants and their impacts separately, depending upon the nature of the analysis that they're conducting. So we disclose as per GAAP, the warrants are easily identified and whosever's evaluating our company can either include them or exclude them depending upon the nature of their evaluation. That's really what happens. So to sum things up, our financials continue on the growth trajectory. Revenues are up, profits are up, working capital is increasing, debt is low. - CFO Carter Ward
It's Happening NOW !!!.....GO ELITE TEAM !!! GO LONGS !!!
AI
