NEW YORK, March 26, 2019 (GLOBE NEWSWIRE) -- via OTC PR WIRE -- On4 Communications (OTCPINK: ONCI) is pleased to announce the following corporate update from CEO Steve Berman:
BUSINESS
Shareholders, I am happy to report that we had another record quarter with sales up significantly YOY and qtr over qtr. We also achieved major milestones which we will discuss in this letter to shareholders. Not only did sales go up, but our costs went down making us more profit per unit sold.
We tried successfully a Facebook and Instagram campaign which netted us real profits immediately. This is something we will be continuing in the next few months.
We negotiated Delaware debt down and paid it off, leaving us available to move the company to Colorado which is also in the works. In addition, after the quarter ended we reduced the OS by 1.4 billion shares which is something we wanted to do for a long time.
We signed 2 private label deals and are negotiating for 3 more which are testing as I write this letter to you.
GIFTCARDEXCHANGE.SHOP
As we have discussed GIFTCARDEXCHANGE.SHOP is moving very quickly. We have met with the web designers and have the beginnings of a platform. I received a proposal for a complete build out from one of the design teams and will be receiving another proposal next week from the other team we met with. The biggest issue is not buildout but back end compliance. We have to verify the validity of the card with the retailer and make sure it’s still valid before we can list on the site. I am expecting we will make a decision by end of April and start work ASAP. As I have stated I have also met with 2 large NY department stores as well as 2 health and beauty stores about buying gift cards at a big discount to populate the site. I will also be populating the site with $3,500 worth of gift cards that I have that I have never used; these include gift cards to Sephora, Dicks Sporting Goods, Ruby Tuesday, Target, Fridays, and a host of others. If any of you want to sell your cards that you are not using please e-mail me at On4company@gmail.com
DENTAL
We have not discussed this in a while but it is still on the table. I have reached out to 3 large urgent care companies about renting space in their centers and becoming their dental provider. I have met with 2 of them who love the idea and I will be meeting with the 3rd urgent care provider next week. After that meeting our board will decide what is needed to move this concept forward. I have also spoken to 2 large senior care providers and will be setting up meetings with them to discuss mobile dentistry for seniors. Mobile dentistry for seniors is a huge opportunity and is a niche that does not have many players in it. The plan, as I have stated, would be to treat seniors and only take what their insurance or government subsidy is, with no cost to the patient. Most seniors need dental care and its extremely difficult for them to get out and go to the dental clinic.
PHARREL PROTECTION
We have completed the test with the roofing company and it went great. We are in the process of negotiating terms for the deal. It will be a total of 800 trucks with a roll out of 200 every month for 4 months. Term sheets are out and we are waiting for final comments this week or next. We added a lot of new features for this deal which will be a benefit in deals to come. Through Pharrel we are in contact with large machinery companies including Cat and Deere as well as large Mining Companies like Rio Tinto, BHP and Vale for our Bfound mobile product and I believe we will be testing very shortly. The heavy truck business is a huge opportunity and we are moving forward every day. This is an untapped market and we are the first to be there. Pharrel is reaching out to many clients on our behalf and I believe this will generate lots of revenue for the company in the future and get us into markets we could never get into on our own. As soon as contracts are signed I will release the names of all companies involved.
2ND PRIVATE LABEL
I spoke with the owner of the 2nd private label group last Thursday who told me the ads are done. I will see them this week and they are looking to launch the first week of April. I know this has taken a long time but I assure you that this is a blockbuster deal. It is the biggest deal we have done to date and involves many facets. As soon as they start the ads, I will announce the name.
We are dealing with one of the largest dealer groups on the east coast with over 60 dealerships. The deal is 20 units in each dealership to start at $200 net to us or $240,000 per month. This will roll out over a month. At present, we have shipped 30 dealerships with the rest to be done in the next two to three weeks. They don’t want to release until the ads hit the market. In addition, we are in talks with 3 other companies regarding private label opportunities: 2 in Europe and one here in the USA. Additionally, we will be starting a test with the company I went to see in Charlotte last week which could turn out amazing. Again, one of the biggest dealer groups in the USA. I will announce all names as soon as signed contracts are done.
REG A
As most of you know we have filed with the SEC for a REG A which will give us all the cash we will ever need to expand all our businesses. We can use all, part or nothing, whichever we choose. We will not need to finance anything through aged debt or other means. I will keep all shareholders involved on how this works out. In regards to debt, most of the large debt has been removed and the rest is over a year old and has to be fulfilled. This has been on the books for the past year. The REG A will allow us complete control over or dollars and we will use as necessary.
SIFTHOUSE
As we speak, we are in negotiations to lease 5000 plus sq feet expandable to 20,000 sq feet if needed. This business is about to explode. CVS just announced it will sell CBD oils for health and beauty needs. As big companies get more involved, the interest will grow and the demand will exceed supply. Canada is the world leader in this business and will continue to grow as the word desires more product. Land continues to be at a premium and we will take advantage of every opportunity to expand as we see fit.
HEXAGON
We still getting messages in reference to RS
"ALL CAPS DEEMED NECESSARY HERE: LET ME SAY THIS AGAIN, AGAIN, AGAIN and AGAIN: THERE WILL BE NO REVERSE SPLIT."
"LET ME SAY THIS AGAIN AS WELL: THERE ARE NO PLANS TO DO ANOTHER 3A1O"
So if you don’t understand it, again: There are no plans on the table to do a reverse split.
The company is in a great position to capitalize on new markets. Distracted driving is an epidemic in the world and is only getting bigger. Cannabis is one of the fastest growing businesses led by total legalization in Canada with 10 other countries to follow.
We have Private label deals in place and we are creating new revenue streams. We are positioned for the future and will ride the wave. We are now branching out from our original model for the company which was to sell in Dealerships. Our goal, if I have learned anything, is to be diversified into many different businesses because as technology changes and AI changes the world we will be diversified into 6 different businesses; all different and self-contained.
About On4 Communications
On4 is a holdings company with an aggressive focus of acquiring proven and profitable businesses. Our first project is focusing on businesses operating in the $1.7 trillion U.S. healthcare industry. Our newest targeted businesses are operating in the trillion-dollar mobile App space. Our first acquisition in the mobile App space is FMS Marketing, a global creator and distributor of mobile Apps for Android and iPhones. We are also targeting businesses to acquire and joint venture within the medical marijuana and emerging MJ ancillary products space.
Forward-Looking Statement
This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements regarding our expected future financial position, results of operations, cash flows, financing plans, business strategy, products and services, competitive positions, growth opportunities, plans and objectives of management for future operations, as well as statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will," and other similar expressions are forward-looking statements. All forward-looking statements involve risks, uncertainties and contingencies, many of which are beyond our control, which may cause actual results, performance, or achievements, as described in our reports filed with the Securities and Exchange Commission, which are available for review at www.sec.gov, to differ materially from anticipated results, performance, or achievements. We are under no obligation to (and expressly disclaim any such obligation to) update or alter our forward-looking statements, whether as a result of new information, future events or otherwise.
CONTACT INFORMATION
Contact:
On4 Communications, Inc.
On4Company@gmail.com
(323) 487-0389