" What does this mean to GTEL shareholders with respect to GTEL gaining control of ATC? "
If I ramble a bit here bigcue bear with me, I will try and be orderly with my thoughts. GTEL has had control of the BOD seats(3) of ATC since last September or October. It was approved at year end by the shareholders. Right now John Palermo is the Company secretary/director, the only non-GTEL director. Technically, GTEL has had BOD control since the end of December. With that accomplished, GTEL can direct their business plan forward without dealing with past management putting up road blocks or hurdles. That was STEP # 1:(side note: ATC had 5 BOD seats when Mark Stewart was CEO, I am assuming it went to 4 when he left, not sure)
As part of the above BOD seats GTEL was to provide 1.2MM in funding. GTEL did fund a small portion and then put a halt to anymore dollars until they could check out the profitability of some of the subsidiaries. It was said they were having problems even obtaining info and decided to wind up operations on a couple of them. As far as I know, this is still ongoing. Meanwhile they modified the agreement on funding. 10MM GTEL shares to cover the rest of the original $1.2MM, an additional 6.5MM GTEL shares for future acquisitions. As stated in filings this will increase the asset base by approx. $3.7MM. The additional asset base, conversion of debt to equity, GTEL buying out Meridian Bank Debt(was over $500K USD when Colt was attempting to buy ATC) is all about cleaning up the Company and getting it in order before listing. GTEL will be able to convert it's debt to equity at $.005/share along with free attaching options at same conversion rate. GTEL will own at least 51% or more of ATC outstanding in a short time, this is only my opinion but would only be good business sense.
Now back to your question..lol
Now if above statements come to reality, GTEL will have voting control and stock control. The stock GTEL will have in ATC becomes an asset of GTEL, thus it goes on our books. That adds value for us shareholders. an example: at last glance 285MM OS for ATC, let's give GTEL 150MM upon conversion, tad more than 51%. GTEL's business plan gets the stock price to a dimeUSD? a quarter? more? adds up in a hurry. GTEL can sell some stock, recoup initial monies, let the rest ride or whatever option they choose. Bottomline it will enhance our value here, no doubt. I think even more important is the visibility GTEL will gain from that part of the world with an actual exchange listing. GTEL's story would gain much exposure enhancing ATC price and in turn enhancing the shareholders at home. Much more of a benefit in my mind than the Berlin cross listing, although Berlin can come into play in a big way if volume increases reducing the float here at home.
To have GTEL's business model/plan in progress on the ASX making money can and will be a huge plus to GTEL stock holders in the US. As I mentioned before I really hope we can be listed by the end of 2nd qtr...rock
