LAS VEGAS, NV--(Marketwired - Dec 13, 2016) - Pure Hospitality Solutions, Inc. (OTC PINK: PNOW), parent Company of the Central American-Caribbean Online Travel Agency (OTA) Oveedia and Numismatic specialist (Meso Numismatics), announced today, that the Company has achieved FAST Eligibility, becoming DWAC approved with The Depository Trust Clearing Corporation ("DTCC").
The Deposit Withdrawal at Custodian ("DWAC") operates by way of the FAST Automated Securities Transfer Program ("FAST"). DWAC/FAST allows for securities to be held by shareholders, as the registered owner, in electronic form, on the books of the company's Transfer Agent. This is a particularly special service; one that the DTCC claims as a premium service offering. Management indicated that in the past, it was advised that the Company would not have been able to receive DWAC approval at that time, given certain elements that needed to be fixed.
Since then, with the assistance of Mr. Melvin Pereira, President and CEO of Pure Hospitality Solutions, Inc., management has been able to clearly define its business model, make acquisitions, eliminate nearly all of its toxic convertible debt, and dramatically reduced the number of private investors involved with the Company. The result... a significant reduction in share issuances, share transfers, and negatively impactful dilution. The Company even generated its first revenues under Mr. Pereira's direction. Which to date, with the recent acquisition of Meso Numismatics, Pure generates revenue daily.
Also, given the strict requirements that Transfer Agents must maintain with the Securities and Exchange Commission ("SEC"), which includes maintaining a minimum of $1M in Errors and Omissions Insurance -- along with Bond coverage between $10M and $25M -- not all Transfer Agents are qualified to be FAST Agents. This means, not all Transfer Agents can sponsor companies like Pure for DWAC. Likewise, qualified Transfer Agents are less likely to comfortably sponsor companies, such as PNOW, unless there is belief in the company's viability and legitimacy, to negate any possible risk.
"I do not profess to be an expert, and I'm relatively new to the chaos that is the microcap markets, but it would seem obvious that the strict review and high level of criteria that must be met by both the Transfer Agent and a company, is due to the great benefit of being DWAC approved," stated Melvin Pereira. "As an electronic system, DWAC greatly reduces the transfer, delivery and deposit time of securities from an investor to their brokerage house. This of course significantly accelerates the settlement process while eliminating the risk of lost certificates and the high cost of handling and transportation associated with the delivery of such physical certificates.
"But let's be honest here. In the wrong hands, having DWAC capabilities can be a complete disaster. Imagine, fourteen possibly highly toxic convertible noteholders, having access to DWAC at the same time... the Company's market would never have a chance to recover. So, while no one ever knows for sure why the DTCC approves or declines an applicant, I'm hopeful in suggesting that our approval was a result of the evident and significant changes we've made, and will continue to make, to protect shareholder interest and prepare for our audit."
Management perceives that the recent DWAC approval will speak positively to the Company's plans to complete its upgrade to the OTCQB. Approaching the next phase of its business plan, management anticipates that this recent approval by the DTCC, will be a supporting factor with the Company continuing to secure responsible, long-term capital investments.
"Next stop, DRS approval and the OTCQB!" Pereira concluded.
About Pure Hospitality Solutions, Inc.
PURE provides proprietary technology, marketing solutions and branding services to hotel operators and condominium owners. The Company's vision is to build competitive operations in the areas of (i) online marketing and hotel internet booking engine services, (ii) hotel branding and, (iii) own, operate and in some instances develop, boutique hotels under the new, "by PURE" brand. PURE is the creator of Oveedia, the Central American-Caribbean online travel hub.
Safe Harbor Statements in this news release that are not historical facts, including statements about plans and expectations regarding products and opportunities, demand and acceptance of new or existing products, capital resources and future financial results are forward-looking. Forward-looking statements involve risks and uncertainties which may cause the Company's actual results in future periods to differ materially from those expressed. These uncertainties and risks include changing consumer preferences, lack of success of new products, loss of the Company's customers, competition and other factors discussed from time to time in the Company's filings with the Securities and Exchange Commission.