TORONTO, ONTARIO – GC-Global Capital Corp. (the “Company”) (TSX Venture Exchange “GDE.A”) announces its financial results for the second quarter ending June 30, 2015.
- Net comprehensive income for the second quarter of $118,221 ($0.00 per share);
- Increase of total assets to $21.3 million from $16.0 million as at December 31, 2014; and
- Five consecutive quarters of positive net comprehensive income.
Management’s Second Quarter Comments
For the quarter ended June 30, 2015, the Company reported net comprehensive income of $0.1 million, or $0.00 per share compared to a net comprehensive income of $1.0 million, or net comprehensive income of $0.03 per share in the same quarter of the prior year. The progress that the Company has made in refocusing and transitioning the business and executing its asset diversification strategy has led to 5 straight quarters of positive net comprehensive income. The Company reported total revenue of $0.5 million compared to $1.5 million in the same quarter of the prior year. The Company’s decrease in revenue was attributed to lower unrealized gains from its investments in public companies. As comparable, the TSXV composite index was down by 1.3% and the TSX decreased 2.34% in the three months ending June 30, 2015. Recurring revenue from interest and fees was $0.25 million this quarter, up by approximately 150% over the same quarter of previous year. Increasing recurring revenue was a key management focus in order to ensure that recurring revenues will be able to offset overhead expenses as the Company positions itself to realize gains on its public company investments.
A full set of unaudited financial statements and related notes have been filed on SEDAR.
Subsequent Events to the end of the Second Quarter:
The Company announces that it has completed its corporate name change from GC Global Capital Corp. to Fountain Asset Corp. as previously approved by shareholders at the Company’s annual general meeting on June 30, 2015. The Company is expected to trade under the symbol “FA” on the TSX Venture Exchange as Fountain Asset Corp. The new corporate website can be found at www.fountainassetcorp.com.
On August 25, 2015, the Board of Directors approved the issuance of 60,000 options (the “Options”) to an employee. The exercise price of the Options is $0.47, and have a term of 5 years and a vestment schedule of 4 years. The option plan is designed to give each optionee an interest in preserving and maximizing shareholder value in the longer term.
About Fountain Asset Corp.
Fountain Asset Corp. is a merchant bank which provides equity financing, bridge loan services (asset back/collateralized financing) and strategic financial consulting services to companies across many industries such as oil & gas, mining, real estate, manufacturing, retail, financial services, technology and biotechnology. For further information, please contact Jason G. Ewart at (416) 488-7760 or visit Fountain Asset Corp.’s website at www.fountainassetcorp.com .
These materials include certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Other than statement of historical fact, all statements in this material, including, without limitation, statements regarding fair values of marketable securities, investments, bridge loans, convertible debentures, estimated asset retirement obligations, and future plans and objectives of the Company, are forward-looking statements that involve various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date of these materials. Important factors that could cause actual results to differ materially from the Company’s expectations include, without limitation, the level of bridge loans completed, the nature and credit quality of the collateral security, the sufficiency of cost estimates for remaining reclamation obligations as well as those factors discussed in the Company’s documents filed from time to time with the TSX Venture Exchange, Canadian securities regulators and other regulatory authorities. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by this notice.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.