Protective Capital Structures Corp. (fka PCSO)

[neilhk]

http://www.pinksheets.com/otciq/ajax/showFinancialReportById.pdf?id=14103

MERL was previously a shell and went through a recent ticker change to RELM at the time they bought Relm REH from the Cremel Group for c.$150 million in preferred shares. The purchase price valuation of $150 million was based on the anticipated closing of two transactions (set up originally by the Cremel Group/ Relm REH) 'currently under contract'.

This purchase price is subject to revision based on the finalised purchase price when the audited financials for RELM are prepared for the year 2008, which must be filed by the end of April 2009. So it seems, Relm REH was spun-off and via a reverse merger with the MERL shell, became a public company trading, now as RELM imo. The Cremel Group remain in control as a holding company, via the preferred shares and by virtue of their 86% ownership of OS RELM shares imo.

Someone brought $150 million to the Cremel Group table to purchase this real estate in the first place or they obtained a loan/ funding to that value. The connection to Thomas A. Harman is an obvious one. Did he bring a group of investors to the table with capital to purchase the property? Or did they obtain a loan for the commercial property?

The two properties we know about at present are 1300 Market Street and GSR. However, the combined value of these properties/ deals is $682 million (incl. first phase only for Office, see ICCC website link). Are the 'two properties' mentioned different ones, or does the Cremel Group only have a % interest in these deals, to the value of c.$150 million? We heard that the funding (for GSR at least) is coming from more than one source. If, so could there be other companies involved as well?

HCPC has one subsidiary, ICCC. On the ICCC website, they discuss under Transactions in Progress, funding for $672 million for GSR and $10.3 million as the initial funding for the Office building (presumably 1300 market Street?).

http://independentcapitalcreditcorp.com/id2.html

HCPC are selling preferred shares to raise cash for funding of the loans. Whilst HCPC/ ICCC may be raising the total funding for the projects, could it be that the Cremel Group is only one party involved in the ownership of GSR?? Or, that the $150 million is just the first phase of funding for GSR? On the RELM website they state, '......through another wholly owned LLC, has signed a non-binding letter of intent to acquire a 27-story 1995-room hotel." This suggests they are buying it all....


Thoughts?:)

GLTA