posted
Who didn't see this coming. If we move to the OTCBB this may work out as long as they don't start diluting.
TOM
IBAC Corporation's Board Approves a 1 for 80 Reverse Split and Reduction of Its Authorized Common Shares Saturday March 4, 9:34 am ET
NEW YORK--(BUSINESS WIRE)--March 4, 2006--IBAC Corporation (ICAN.PK) Friday after the bell announced that its Board of Directors has approved a 1 for 80 reverse split of its common shares, this reverse split will leave the company with only 150 Million common shares outstanding.
The company also approved a reduction of its authorized common shares from 12 Billion to 500 Million shares, with this action the Board believes it will bring the capitalization in line with the true value of the company and allow greater opportunity for growth of the share price.
The company has not filed for any new reg dex/504 filings and does not have any plans to do so; the decision was made after long discussions with our advisors. We believe the action will bring the pps in line with the value of the company and have a stronger balance sheet/audit in place when we apply to the OTCBB for listing.
The reverse split will take effect March 10, 2006 and the company will have a new trading symbol that will be announced once received from NASDAQ.
"We realize that this move will not be received very enthusiastically from our current shareholders but we believe to get this company where we have stated the OTCBB and to offer the best chance for appreciation and growth this had to be done, and we have no intention of any dilution so it is our belief that this will reflect the true value of our company," said Wayne Burmaster, President & COO.
About IBAC Corporation:
IBAC Corporation is a New York-based holding company operating through its subsidiaries within the Hospitality, Food Service & Restaurant and other industries. IBAC now operates businesses as the majority owner with over 100 employees in Florida, Tennessee & Arkansas that includes a 200 room full service hotel, 127 room limited hotel, 4 restaurants/lounge 10,000 sf of banquet space and the exclusive concession, food, beverage & catering contract with the Pine Bluff Convention Center.
IBAC operates through its subsidiaries, The Sanibel Restaurant Group/The Royal Arkansas Hotel & Suites/National Hospitality Management Services/Monarch Entertainment Group Worldwide/Memphis Airport Ramada; IBAC intends to grow aggressively throughout the next three years, through acquisitions, mergers and the building of new establishments. Visit the company website at www.ibaccorp.com.
Forward Looking Statements: This information includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties including, but not limited to, the impact of competitive products, the ability to meet customer demand, the ability to manage growth, acquisitions of technology, equipment, or human resources, the effect of economic and business conditions, and the ability to attract and retain skilled personnel as related to the industry. The Company is not obligated to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.
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