Global Technologies, Ltd. to Sell Portion of Investment
PHILADELPHIA--(BUSINESS WIRE)--Nov. 30, 2000--Global Technologies, Ltd. (Nasdaq: GTLL) said today that it is selling a portion of its holdings in U.S. Wireless Corporation (Nasdaq:USWC) in order to repay an outstanding obligation.
In March 2000, GTLL obtained a $10 million line of credit with Merrill Lynch, the outstanding balance of which today is approximately $3.5 million. The line of credit was collateralized by assets of GTLL including 1.5 million shares of USWC common stock. GTLL has agreed to repay the line of credit and is selling shares of USWC common stock to do so.
Merrill Lynch is executing public sales in an orderly fashion and GTLL is negotiating private block sales to pay off the remaining balance of the line of credit.
Irwin L. Gross, Chairman and Chief Executive Officer of GTLL, and a member of the Board of Directors of USWC, stated, "We remain confident in U.S. Wireless' business model and prospects, which we believe to be very positive. We would not be selling any of this valued investment if our hand had not been forced by some of the worst market conditions we have seen in a while. We are doing all that we can to alleviate any downward pressure on the stock that the sales might be creating, and we look forward to reaping the benefits that we believe the remainder of our investment in USWC will bring in time."
About Global Technologies, Ltd.
Global Technologies, Ltd. is a technology incubator that invests in, develops and manages emerging growth companies in the networking solutions, interactive entertainment, e-commerce, telecommunications and gaming industries. |
