Omega Commercial Finance Corporation (OTCMKTS:OCFN) recently released a corporate update on the developments of the company. The company recently filed a 10-K regarding its FY2014. This was the second consecutive net positive FY result for the company, which reported an increase in net gain from $28,401 to $179,036. This was soon followed by an 8-K for the company, concerning its merger agreement with Branca Ribeiro Representacoes Ltd. The agreement entitles Omega to acquire 20% of BRR, in return for 10-million shares of series NYSE convertible shares at a value of $7.86.
The larger part of Omega’s revenues for FY2014 were from conventional operations and non-refundable advisory fees. Apart from this, other sources included the direct and private selling of capital stock and getting investments from small cap companies. For the FY2014, non-refundable fees contributed $469,578, while the sale of convertible shares contributed $417,226. Furthermore, revenues from completion of strategic alliances stood at $210,000. In total the company was able to generate $1.433 million in revenues.
The current state of the company has been attracting significant investor interest. Omega states that the 10-Q reflects on its ability to attract investors and business, without running at full capacity. At the moment, the company was able to finish the year with adequate cash and a net gain, which is rare for OTC companies. From here onwards the company would need to properly manage its cash flow to keep itself going for the coming years.
Recently, the company has involved itself with BRR, a forest land and timber holding company, which is amongst the largest in Brazil. BRR has been valued at $393 million, with a profit margin of 20%. As per the agreement, Omega would now hold 20% of BRR, giving the former minority ownership of the latter, valued at $78,600,000.
Omega Commercial Finance Corporation (OTCMKTS:OCFN) closed at $0.0002, after losing 50% of its stock value during the July 8 trading session, after trading 277.7 million shares.