Orbital Tracking Corp. Announces Share Exchange and Completion of $1.10 Million Private Placement
Orbital Tracking Corp. to Focus on Building Satellite Ground Infrastructure and Worldwide Mobile Satellite Retail Ecommerce Operations
WALNUT CREEK, CA -- (Marketwired) -- 02/26/15 -- Orbital Tracking Corp., (formerly Great West Resources, Inc.) (OTCQB: TRKK) a Nevada corporation ("Orbital" or the "Company"), announced today that it entered into a share exchange agreement on February 19th, 2015 pursuant to which all of the capital stock of Global Telesat Communications Limited, a privately held United Kingdom corporation ("Global"), was exchanged for shares of Common Stock and Series E Convertible Preferred Stock of the Company (the "Share Exchange") causing Global to become a wholly owned subsidiary of the Company. Mr. David Phipps, the founder and Managing Director of Global, with 12 years of experience in the global satellite communications industry, was appointed CEO and Chairman of the Board of the Company.
The acquisition expands the global satellite based infrastructure and business of the Company which was first launched in December 2014. The Company presently offers services related to the Globalstar low earth orbit (LEO) satellite constellation, including satellite based tracking devices and services, ground station construction, and product design. The Company's customers include defense industry, international non-profit and commercial users.
The acquisition of Global will result in a fully integrated satellite services entity with an experienced management, sales and support team with more than 30 years combined experience and a fully operational business currently servicing more than 5,000 existing customers in the international marketplace. Through Global, formed in 2008, the Company is now a leader in Europe in providing retail satellite based hardware, airtime and services through various ecommerce storefronts, and is the one of the largest providers of personal satellite tracking devices in Europe. With key business relationships and vast expertise in providing satellite based services to customers around world, Global plans on expanding into various markets including North America, Africa, Asia, and Latin America.
The Company will retain the entire staff of Global and its executive management team who will continue to operate out of their offices in Poole, UK. The Company will now principally focus on growing its current satellite service business line as well as expand into developing its own tracking devices for use by retail customers worldwide.
In connection with the closing of the Share Exchange, the Company sold 550,000 units of its securities at a price of $2.00 per unit, resulting in gross proceeds to the Company of $1,100,000. Each unit consisted of either (i) 40 shares of common stock or (ii) 4 shares of the Company's Series C Convertible Preferred Stock, with each share of preferred stock convertible into 10 shares of common stock.
The Company's new CEO and Chairman, David Phipps, said "By combining Global into Orbital Tracking Corp. we have created an enterprise possessing a significant amount of proven resources and an experienced team which will be key to expanding our new business units within the rapidly growing Mobile Satellite Services marketplace. Through our U.S. and EU entities we now have a true worldwide presence with an established business and operations servicing customers all over the world. As a result of this transaction and the added financial resources we are now in a position to expedite our plan to rapidly expand our product offerings and begin to launch into new markets."
The Company intends to use the net proceeds of the offering principally for sales and marketing, research and development, and general and administrative expenses.
The Company has launched a new website at www.OrbitalTracking.com offering global tracking products and related services.
About Orbital Tracking Corp.
Orbital Tracking Corp. provides satellite based tracking, services as well as mobile voice and data communications services globally via satellite to the commercial and government users. Orbital specializes in services related to the Globalstar satellite constellation, including ground station construction, simplex tracking services and satellite telecommunications voice airtime. Orbital operates various e-commerce retail and tracking portals where users around the world can purchase satellite hardware and track assets in real-time on mobile devices or PCs. For more information regarding Orbital, please visit www.OrbitalTracking.com
Certain statements in this release constitute forward-looking statements. These statements include the capabilities and success of the Company's business and any of its products, services or solutions identified therein, the appeal of the Company's website to potential customers, the Company's ability to capture any portion of the global satellite retail market, the Company's ability to secure and/or satisfy government, commercial or other customers for any of their respective products, the Company's ability to leverage its government-related experience, the Company's ability to execute on its strategies or to accomplish any of its goals or objectives, The Company's ability to generate new revenue streams, the ability of the Company to obtain Globalstar certifications for its tracking devices, the further advancement, development or commercialization of any of the Company's products, the capabilities and advantages of, and costs related to, the Company's technology and products and services, and the suitability of any of the Company's products or services for any particular application. The words "forecast," "project," "intend," "expect," "plan, " "should," "would," and similar expressions and all statements, which are not historical facts, are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors, any of which could cause the Company to not achieve some or all of its goals or the Company's previously reported actual results, performance (finance or operating) to change or differ from future results, performance (financing and operating) or achievements, including those expressed or implied by such forward-looking statements. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's Current Reports on Form 8-K, as amended, filed on December 16, 2014 and February 25, 2015 and in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2013, the Company's Quarterly Reports on Form 10-Q and other filings submitted by the Company to the SEC, copies of which may be obtained from the SEC's website at www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement and the Company undertakes no obligation to revise or update this release to reflect events or circumstances after the date hereof.
Orbital Tracking Corp.
Phone: +1 925 287 6432
Source: Orbital Tracking Corp.
Released February 26, 2015