CGrowth Capital, Inc. Initiates Share Reduction Plan
SILVERDALE, Wash., Jan. 15, 2013 /PRNewswire/ -- CGrowth Capital, Inc. (OTC Pink: CGRA) (the "Company") today announced it has reached agreement with several existing shareholders related to the Company's efforts to begin a share reduction and lock down plan.
As part of the change in control filed with the Company's June 30, 2012 quarterly report, the Board of Directors showed forethought and instituted a leak out agreement with six (6) of the Company's shareholders. The leak out currently effects 7,500,000 free trading shares and 7,500,000 restricted shares and will remain in place for another 15 months.
Recently the Company initiated a lockup and leak out agreement with seven (7) shareholders affecting a total of 18,000,000 free trading shares and an additional 2,500,000 restricted shares.
An agreement has also been reached with our major shareholder whereas they have agreed to freeze 25,000,000 shares. This agreement is just the first stage, and the Company hopes to be able to announce additional commitments to freeze more shares in the near future.
Additionally, the Company is in the process of reducing its outstanding shares by retiring an initial 3,000,000 shares of the Company's common stock.
"It pleases me to be able to make strides at showing long term commitment to the Company by several of our shareholders," stated Bill Wright, CEO of CGrowth Capital. "We are working on a long-term project, and our shareholder base recognized the potential value. In total, we have been able to affect over 60 million shares through these efforts – approximately 30% of the total outstanding shares and 25,500,000 free trading shares. In our continuing effort to enhance shareholder value, the Board of Directors is working to approve a share buyback program. Further details will be provided in the near future."
Investors might also be interested in signing up to win a free ounce of silver being periodically given away by the Company. Register your name and email on their website under the Investors Section, or follow this link: GetSilver
For more information about CGrowth Capital, visit their website: www.CGrowthCapital.com.
