IVSO-WHO SAID THEY WERE THE ONLY ONES WHO COULD
TRY TO PULL A FAST ONE..SOMETHING ABOUT THIS JUST
DOES NOT SMELL RIGHT....
Penny King Holdings Proposes Buyout of Quintek and eKnowledge Group
WASHINGTON, May 14 /PRNewswire/ -- Penny King Holdings Corporation, an affiliate of the Free and Clear Foundations of America, Inc., announced that it has formed a wholly owned subsidiary to facilitate financing for small cap and emerging growth companies in the United States.
Advanced Capital Services Corporation (ACSC) will invest in registered publicly traded securities, and provide equity lines of credit or facilitate the private placement of equity securities in joint ventures with various international investment funds.
One proposed transaction is to merge Quintek Technologies, Inc., with eKnowledge Group, Inc. both trading on the OTC BB. PKH has obtained a preliminary term sheet for $75,000,000 from Alexander Capital Markets Group LLC to provide a structured equity line of credit for the potentially merged companies. "We accepted the term sheet on May 9th, 2002 on behalf of ACSC," said Gabor Sandor Acs, Chairman of both PKH and ACSC.
PKH is preparing binding letters of intent, a Prospectus and a Registration Statement and plans to exchange with Quintek and eKnowledge stockholders, one (1) share of Penny King Holdings Corporation with a pegged value of $10.00 per share, for each share of Quintek and eKnowledge at a price of two times (2X) the previous five days average bid price, or three times (3x) net present tangible book value, whichever is greater, on the Effective Date of a Registration Statement as filed with the Securities and Exchange Commission. A registration statement for the structured financing will also be filed as part of the proposals initiated by PKH.
In a previous press release, PKH had announced a joint venture with EuroTrend Informatics Ltd. (ETL), a private Hungarian information technology and software company, an assignment of an exclusive distribution agreement for Quintek's products and technology, and to provide ETL with a $15 million revolving credit facility for 2 years for import financing to purchase Quintek products, technology and services through its Advanced Capital Services division, which is now a wholly owned subsidiary of PKH.
PKH had formally applied to the Export Import Bank of the United States for direct loans and loan guarantees to further expand product sales through Quintek acting as the master supplier of technology and products from the U.S. to Central Europe on behalf of ETL, however ETL has not supplied audited financial statements to the best of PKH's knowledge to date, and has effectively terminated its joint venture agreement, investment agreement, and financing plans with ETL.
The exclusive distribution agreement for Hungary and surrounding seven (7) nations however remains assigned to ETL and to the best of PKH's knowledge, management of Quintek is working directly with ETL management to complete any previously planned purchase orders, on a longer time frame, and lower quarterly volume than originally proposed. If ETL produces audited financial statements, Quintek and ETL must work directly with the Ex Im bank for export financing guarantees or direct loans for Quintek's products, technology and services.
An affiliate of PKH, The Free and Clear Foundations of America, Inc., has previously entered into a ten year, $50,000,000 Agency Agreement for web site development of the Foundations web sites with eKnowledge.
About Quintek
Quintek manufactures the patented Q4300 Universal Interface and the Q4305 Aperture Card Plotter. These two components operate together to provide a turn key system for producing complete back up data storage systems directly from digital image files.
Contact:
Quintek Technologies, Inc.
Chip Parrish, 888-577-6898 (Investor Relations) |
