Proceeds to Be Used for Debt Reduction and Acquisition Financing
WEST PALM BEACH, FL / ACCESSWIRE / November 1, 2018 / Global Digital Solutions, Inc. (OTC PINK: GDSI), a company that is positioning itself as a leader in comprehensive security and technology solutions has announced it has arranged for a common share equity financing facility that will allow the Company to draw up to $5 million as needed to reduce debt and fund anticipated acquisitions. Details of the transaction will be provided in an upcoming 8-K.
Commenting on the financing, GDSI's Chairman and CEO, William J. Delgado, noted, "Today's announcement demonstrates our ability to raise significant capital as we seek to retire debt, strengthen our balance sheet and fund our acquisition and growth strategy as the Company looks beyond our expected fruitful conclusion of the Rontan situation. This Capital should begin to be available approximately 120 days."
Earlier this year, GDSI initiated legal action against Grupo Rontan Metalurgica, S. A, ("Rontan")
and its controlling shareholders, contending they breached their Share Purchase and Sale Agreement ("SPA") with GDSI by failing to consummate the transfer of the shares of Rontan pursuant to the SPA. GDSI is seeking either a judgment of specific performance of the SPA or compensatory damages and to recover attorneys' fees and costs.
The Company recently announced an agreement to acquire HarmAlarm, a company specializing in patented Aviation Technology. The companies have agreed on a strategic plan involving HarmAlarm's patent-protected Precision Approach Landing System (PALS) which reduces the workload of pilots, provides automation to the flight deck and can potentially fulfill mandates requested by both the National Transportation Safety Board and the FAA of the general aviation industry and major Aircraft manufacturers world-wide.
About Global Digital Solutions, Inc.
Global Digital Solutions, Inc. (OTC PINK: GDSI), a company that is positioning itself as a leader in comprehensive security and technology solutions, has initiated a lawsuit for damages against Grupo Rontan Metalurgica, S. A, ("Rontan") and that company's controlling shareholders, Joao Alberto Bolzan and Jose Carlos Bolzan. The Company has engaged the law firm of Boies Schiller Flexner LLP to represent it in this action. The case will be handled by William Isaacson of the firm's Washington office and Carlos Sires of the firm's Fort Lauderdale office (Their professional profiles are available at https://bsfllp.com/lawyers.). The action has been filed in the United States District Court for the Southern District of Florida. The complaint alleges that "Rontan is wholly-owned by Joao Bolzan and Jose Bolzan.
Rontan is one of the world's largest manufacturers of original equipment for specialty vehicles for emergency management, first responders, national security, and law enforcement operations. The company also acquired NACSV, a supplier of Mobile Command Centers to Military, Law Enforcement, and First Responders. For more information about GDSI, visit http://www.gdsi.co.
About Harm Alarm and Gary Ball
HarmAlarm was formed by founder Gary Ball in 2002 as a private Texas company to pursue Infrared commercial applications as a restricted "dual use" of Infrared technology, a US Government restricted technology. HarmAlarm's efforts included medical applications (exports to Taiwan), Physical Security applications, "Green Initiatives" as well as aviation. This last effort was the genesis of PALS. Mr. Ball's long history on EVS provided the insight into PALS. PALS will satisfy the present need for an affordable, robust, precision low visibility landing aid for general aviation. The precision and robustness of PALS has generated a host of new applications mainly through "landing trajectory" optimization which provides additional safety margin against weather related hazardous conditions, like wind shear, wake turbulence, icing, as well as low ceilings and fog.
Gary Ball received his formal education from California State University at Long Beach, a BSEE and an MSEE. Mr. Ball's long career in Aerospace has included design engineering, line management and senior business development positions at Ford Aeronutronic, Northrop and Hughes Aircraft. At HAC, Mr. Ball took the program lead on the acquisition of The Thermal Imaging Navigation Set (TINS) for the USN F-18. Upon award of the contract, Mr. Ball was asked to investigate the potential commercial applications of TINS. This effort was designated CLAS, standing for Commercial Landing Aid System that eventually evolved into Enhanced Vision System. Gulfstream received a Type Certification from the FAA in 2000 for this system. EVS was acquired by GAC under a previous License Agreement from Infrared Systems International (ISI), the manufacturer for many years. Gary Ball remained CEO of ISI until it was sold.
This press release contains "forward-looking statements." The statements contained in this press release that are not purely historical are forward-looking statements. Forward-looking statements give the Company's current expectations or forecasts of future events. Such statements are subject to risks and uncertainties that are often difficult to predict and beyond the Company's control and could cause the Company's results to differ materially from those described. In some cases forward-looking statements can be identified by terminology such as "may," "should," "potential," "continue," "expects," "anticipates," "intends," "plans," "believes," "estimates," and similar expressions. These statements include statements regarding moving forward with executing the Company's global growth strategy.
The statements are based upon current beliefs, expectations, and assumptions and are subject to a number of risks and uncertainties, many of which are difficult to predict. The Company is providing this information as of the date of this press release and does not undertake any obligation to update any forward-looking statements contained in this press release as a result of new information, future events or otherwise, except as required by law. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends affecting the financial condition of our business.
Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Important factors that could cause such differences include, but are not limited to the Risk Factors and other information set forth in the Company's Annual Report on Form 10-K filed on March 30, 2015, and in our other filings with the U.S. Securities and Exchange Commission.
SOURCE: Global Digital Solutions, Inc.