Revolutionary Concepts Announces Plans for Major Stock Buyback of 130 Million Shares of Its Common Stock
Revolutionary Concepts Inc. (OTC Pink: REVO), a publicly traded company that develops mobile video software and remote security communication systems, announced that its subsidiary Greenwood Financial Group planning to make major repurchases and buybacks of REVO’s common stock. Greenwood is planning to re-purchase up to 20% or 130,000,000 shares of REVO’s 650,087,493 outstanding shares of common stock.
On July 2, 2014, REVO announced that its wholly owned subsidiary Greenwood Finance Group signed an agreement with a funding company and secured a $10 million line of credit. The $10 million credit facility will be used to expand and grow the operations of Greenwood and Revolutionary Concepts. Greenwood is forecasting that $10 to $20 million in annual revenues could be generated from its planned capital investments and the acquisition of distressed financial assets, from the use $10 million line of credit. Greenwood estimates it could earn $5 million in annual profit from the investments generated through the credit line.
From the estimated $5 million in profit, Greenwood Finance would consider making major repurchases and buybacks of REVO’s outstanding shares common stock. Greenwood would consider re-purchasing up to 20% or 130,000,000 shares of REVO’s 650,087,493 outstanding shares of common stock.
REVO’s Senior Vice President Solomon Ali states, “We have great confidence in the future growth prospects of REVO and Greenwood Finance Group. Greenwood should be a very strong financial engine for us that could propel the Company to generate greater revenues and profits. We believe for Greenwood to use some of its profits to buyback REVO’s common stock, is a good capital investment in our Company, and one of the best uses of its financial resources. This would send a strong message to our shareholders and the public market of the high level of confidence we have in the long-term growth potential of the Company. Reducing the number of outstanding shares could also have a very positive effect on the price of the stock and bring additional value to our shareholders.”
READ MORE