HITECH RESOURCES CORP - Investment Group Agrees to Purchase 8% Stake in Global Capital - Partners At 7.50 USD Per Share Strategic Expansion of Online Trading Into Middle East and Europe to Follow
Story Filed: Wednesday, October 11, 2000 3:29 PM EST
New York, New York, Oct. 11, 2000 (Market News Publishing via COMTEX) -- Hitech Resources Corporation ("the Company") has arranged the placement of a Structured Note through which it will generate an investment, via a subsidiary company, of US$ 7 million to acquire an 8% equity stake in Global Capital Partners (NASD:GCAP).
As per an existing Term Sheet signed with Global Capital Partners, the Company will purchase 933,333 shares of Global Capital Partners at $ 7.50 per share.
The closing of the transaction is expected shortly and is subject only to the completion of the necessary documents satisfactory to both parties. HRH Prince Saif, as Chairman of Hitech Resource Corporation, was instrumental in arranging the subject transaction; he is also Chairman of Economic Consultancy Services House, a financial consulting organization based in Saudi Arabia. Saudi businessman Adnan Khashoggi, also involved in the placement of the Structured Note issued by the Company, has business interests worldwide and has, for over 3 decades, been intimately involved in cross border deals associated with the Middle East. Both persons, and their affiliates, intend to use their extensive and long standing contacts to assist Global Capital Partners in its strategic expansion plans beyond North America and Europe.
"We are pleased to be shareholders of Global Capital Partners; we were motivated by the fact that our network of business affiliations would bring incredible value to Global Capital Partners via our ability to rapidly introduce their online trading operation -- Sutton Online -- to a series of financial institutions in the Middle East, Eastern Europe and the Indian sub continent," said Mr. Khashoggi.
Global Capital Partners operates a highly diversified international investment banking and securities network. Global Capital Partners owns Colorado based EBI Securities Corporation, a full service investment banking and brokerage firm with 16 offices in 15 cities and Global Capital Markets Inc., a New York based investment banking and brokerage firm. Global Capital Partners also holds a majority interest in Sutton Online Inc., an online trading firm that offers order routing, level II software and data, Internet service and training for online investors (including individuals), hedge fund managers and money managers. Sutton Online also provides brokerage firms the necessary tools to offer financial products via the Internet. Global Capital Partners also holds a 30% interest in MoneyZone.com (OTCBB:MNZN), a capital formation Internet portal which matches investors with entrepreneurs. Other companies in the financial services industry are eTrade (NASDAQ:EGRP), Charles Schwab (NYSE:SCH), Merrill Lynch & Co. (NYSE:MER) and National Discount Brokerage (NYSE:NBD).
"Allison Eaton" Allison Eaton, Director Cautionary Statement: This press release contains certain forward looking statements. Forward looking statements, by their nature, carry associated risks, especially risks concerning the possibility that some or all events envisaged in such statements will not materialize in the future.
The Company relies on litigation protection for forward looking statements.
TEL: 604/689-5598 Allison Eaton, Hitech Resources Corp.
TEL: 604/689-5598 Allison Eaton, Hitech Resources Corp
FAX: 604/689-3702
----------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------
(c) Market News Publishing Inc. Tel:(604) 689-1101
All rights reserved. Fax:(604) 689-1106
MarketbyFax(tm) - To get the NEWS as it happens, call (604)
689-3041.
Copyright © 2000, Market News Publishing, all rights reserved. |
