SOURCE: Omega Commercial Finance Corporation

Omega Commercial Finance Corporation

November 12, 2013 07:30 ET

Omega Commercial Finance Corporation Signs LOI With a New York Based Registered Broker Dealer to Become One of Their Financial-Services Subsidiaries

MIAMI, FL--(Marketwired - Nov 12, 2013) - Omega Commercial Finance Corporation (OTCQB: OCFN), a publicly traded financial holding company, has signed a Letter of Intent with a New York based registered broker dealer acquisition candidate. This full-service broker dealer is a member of FINRA, NFA, and SIPC, and a registered firm with the CFTC that provides its customers Electronic Brokerage Services and direct access to online trading of stock, futures, options, Foreign Exchange ("Forex"), and other forms of securities.

A key highlight that separates this target from OCFN's January 2013 minority stake ownership acquisition of VFG Securities & VFG Advisors, is that this acquisition candidate offers diversification into a key strategic revenue investment-banking services driver, which is exactly the type of financial company target OCFN was seeking as previously discussed in an earlier press release. Specifically, the acquisition candidate wants to implement a proven business model involving the cross-pollination between investment-banking and CMBS securitization with the objective being to cater to Omega Capital Street, OCFN's subsidiary and direct balance sheet lending operation that employs commercial real estate fixed loan programs. "There is a strong appetite from investors to put money to work in commercial real estate, and a strong appetite from borrowers too," says Jamie Woodwell, Mortgage Banker Association's vice president of commercial real estate research.

The integration of this broker dealer's operations can immediately generate revenues from leveraging their current proprietary trading platform and create other financial products and services that could use OCFN's current relationships with financial-service related broker dealers, RIAs, and shareholder base. OCFN's vision is to implement a business model similar to the likes of Cantor Fitzgerald, a top Wall Street investment firm whom created Cantor Commercial Real Estate Finance by utilizing its fixed-income and investment-banking back offices to support CMBS style loan originations.

However, OCFN is already looking ahead to expand this model further through discussions with a premier website portal that provides an online community for investment entrepreneurs and capital seekers to effectively engage one another. OCFN views this as a great potential opportunity and marriage of the two infrastructures to create a crowdfunding platform built to drive in additional revenue for this broker dealer. Consequently as an SEC-registered broker-dealer, they can act as the required funding intermediary portal through this targeted website and more importantly generate additional revenue from each executed transaction. 

Jon S. Cummings IV, Chairman of Omega Commercial Finance Corporation, stated, "We are strategically obtaining varied ownership of inter-related operating companies with built-in synergies to harvest a broad range of financial products and services to augment our core lending competencies and yield a top-regional financial holding company aimed and poised for eventually up listing to a larger exchange such as the NYSE."

Safe Harbor

This release contains 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. These statements include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Omega Commercial Finance Corp., its directors or its officers with respect to, among other things: (i) our expectations regarding revenues and earnings; (ii) our growth strategy and operating strategy; and (iii) our ability to attract new registered representatives. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential," "project" and similar expressions are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those projected in the forward-looking statements.

Contact Information

  • Omega Commercial Finance Corporation
    Investor Relations
    1-877-912-OCFN (6236) Ext. 0