DUBAI, UNITED ARAB EMIRATES--(Marketwired - Sep 8, 2016) - Global Equity International, Inc. (OTCQB: GEQU) and its fully owned subsidiaries, Global Equity Partners Plc. and GEP Equity Holdings Ltd., a global business consultancy firm with offices in Dubai and London that consults to a diverse number of companies around the world, are pleased to announce that due to business demand a new structured and commercial finance division of the Company has been established.
The new structured and commercial finance division, based in London (United Kingdom), will focus on the needs of companies who are more suited to receive debt financing over equity financing with construction and property related transactions being the prime target client.
Historically, the Company has had a complete focus in the public sector with the IPO route it's tried and tested way to building value, but as the network has expanded some tenfold in the past four years. The number of substantial enquiries in the debt sector has equally grown to the point whereby the Company can now see a clear, viable and highly profitable new division within the group.
Late August of 2016, the Company attracted its first major client that fit the investment criteria of the new division and was subsequently engaged by a "reborn and historically iconic" United Kingdom hospitality brand to assist in the raising of up to, but not limited to, US$2.5 Billion for the construction and acquisition of a number of prime location properties in the hospitality sector in the UK. The new client noticed a significant and innovative niche in the United Kingdom hotel market and will be involved in building new hotels and also acquiring existing properties on a nationwide (UK) basis. The initial targets, within the first phase of the client's business plan, amounts to an initial investment requirement of US$250 to US$300 million structured around two or three assets. The assets themselves form part of an extensive list of target acquisitions to be brought into the Group over the next three years with an ongoing capital raising strategy. Management of the Group are seasoned in the hotel industry and have a deep depth of knowledge of the sector, the offering, the value and the potential targets.
Peter Smith, CEO of Global Equity International Inc., said: "We have been receiving quite a number of proposed property funding transactions that have been historically outside of our usual remit, and on the other hand we have been approached by various funders who are seeking more asset backed projects. We therefore made the decision to only entertain the very best of these types of projects whereby we can see a clear way to the funding and conclusion of the deal prior to starting any contractual negotiations. Our new mandate (client) is a brand name that historically has been synonymous with quality and style in the hospitality industry. The mandate is a very interesting one with the core aspects of the deal being the acquisition and build-out of new hotels in the United Kingdom. Since Brexit at the end of June (2016), we have seen UK property represented at an almost 15% discount to non-sterling (GBP) investors, making the already attractive proposition of this mandate even more appealing due to the recent decline of the British Pound. In the leisure rich Arab Emirates, we anticipate a strong interest from our funding partners to not only take advantage of the current sterling weakness but also to be involved in such an iconic brand. This is a long term commitment by both the client and our Company with a substantial capital raise over time, hence it is a very exciting time for Global Equity. We are, unfortunately, not at liberty to disclose the name of our newly engaged client due to the current executed non-disclosure agreements between the parties and the sensitivity of the acquisition targets."
About Global Equity International Inc. and its subsidiaries
Global Equity International Inc., through its wholly-owned subsidiaries Global Equity Partners Plc. and GEP Equity Holdings Ltd., advises worldwide business leaders with their most critical decisions and opportunities pertaining to growth, capital needs, structure and the development of a global presence. With offices in Dubai and London, Global Equity has developed significant relationships in the US, UK, Central Europe, the Middle East and South East Asia to assist clients in realizing their full value and potential by bringing them to external capital and resources that place an emphasis on collaborative thinking. Furthermore, because Global Equity has offices in key financial centers of the world, they are able to introduce their clients to a unique opportunity of listing their shares on any one of the many stock exchanges worldwide. Global Equity Partners holds many long-term equity positions in many of the companies that it represents.
Safe Harbor Statement
This press release may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements related to anticipated revenues, expenses, earnings, operating cash flows, the outlook for markets and the demand for products. Forward-looking statements are no guarantees of future performance and are inherently subject to uncertainties and other factors which could cause actual results to differ materially from the forward-looking statements. Such statements are based upon, among other things, assumptions made by, and information currently available to, management, including management's own knowledge and assessment of the Company's industry and competition. The Company refers interested persons to its most recent Annual Report on Form 10-K and its other SEC filings for a description of additional uncertainties and factors, which may affect forward-looking statements. The company assumes no duty to update its forward-looking statements.