ECNC Connect Relisted on OTCBB After Seven-and-a-Half Month Absence; CEO Hughes Reiterates Plans to Seek Listing on NASDAQ, AMEX
SAN PEDRO, Calif., Nov. 1 /PRNewswire/ -- eConnect (OTC: ECNC) was
relisted on the over-the-counter bulletin board today, after the National
Association of Securities Dealers approved the application of J. Alexander
Securities Inc., Los Angeles, to make a market in the issue.
eConnect closed up 223% at 1 7/64 on volume of approximately 6.72 million
shares, in the Company's first day back on the OTC BB since the Securities and
Exchange Commission suspended trading March 13, alleging that ECNC had issued
false and misleading press releases. The SEC lifted the suspension later that
month, and ECNC settled the SEC's complaint without admitting or denying
guilt.
However, the Company was delisted from the OTCBB, and for the next seven
and a half months traded on the so-called gray market, without benefit of the
electronically-posted, real-time "bid" and "ask" that is considered a
prerequisite for mainstream stock trading. As it pushed forward with its
ambitious business plan, ECNC also faced the challenge of relisting -- a rare
event.
"We believe that eConnect will soon be famous for its business, which is
making e-commerce secure," said founder, chairman and chief executive Thomas
S. Hughes. "But for now, we may be better known as the Lazarus of tech
companies.
"What has finally happened today, after so many unsuccessful attempts,
testifies to the faith of our employees and shareholders. It also reflects
the NASD's confidence that J. Alexander has conducted due diligence on our
Company -- including the question of whether we are in compliance with the
terms of our settlement with the SEC."
Although the Company views today's relisting as crucial to its ability to
raise capital, it is a first step. As previously stated, an application to
the NASD by a second potential ECNC market maker is pending. At least two
market makers are required to ensure a competitive bid/ask on an issue.
Additionally, Mr. Hughes reiterated his declaration at Monday's annual
meeting that the Company intends to apply for listing on the NASDAQ National
Market or the American Stock Exchange. The company will elaborate on this and
several other developments in the near future.
About eConnect
eConnect is a fully reporting company, trading on the OTC BB, that
develops products and services around its Bank Eyes Only(TM) system of secure
online electronic payment. Using such hardware peripherals as eConnect's
eCashPad, which is now in production, consumers will be able to rout financial
information on their credit, bank ATM-with-PIN, and smart cards directly to
the bank, without exposing it to the merchant. In cooperation with business
affiliates, eConnect is currently developing both the infrastructure and the
consumer and merchant hardware needed to make Bank Eyes Only(TM) an
internationally-accepted standard of e-commerce.
Safe Harbor: Certain statements in this release may contain
forward-looking information within the meaning of Rule 175 under the
Securities Act of 1933 and Rule 3b-6 under the Securities and Exchange Act of
1934 and are subject to the safe harbor created under those sections. All
statements, other than statements of fact, included in this release,
including, without limitation, statements regarding potential future plans and
objectives of the company, are forward-looking statements that involve risks
and uncertainties. There can be no assurance that such statements will prove
accurate and actual results and future events could differ materially from
those anticipated in such statements.
For further information, please contact Fred Biddle, Member of the Firm,
Sitrick and Company, 310-788-2850, for eConnect.
SOURCE eConnect
-0- 11/01/2000
/CONTACT: Fred Biddle, Member of the Firm, Sitrick and Company,
310-788-2850, for eConnect/
/Web site: econnectholdings.com
(ECNC)
CO: eConnect
ST: California
IN: MLM CPR
SU:
*** end of story *** |
