Charleston, SC, Jan. 06, 2022 (GLOBE NEWSWIRE) — SMC Entertainment, Inc. (“SMC” or the “Company”) (OTC: SMCE) and its wholly owned subsidiary, Genesis Financial, Inc. (“Genesis”) – a fully integrated financial technology company with a full suite of digital financial services solutions, are pleased to provide shareholders with a summary of the Company’s fiscal 2021 completed milestones and fiscal 2022 planned activities and guidance.
We wish you a healthy and prosperous 2022. For the first three quarters of fiscal 2021, the Company divested itself from certain assets that were previously acquired by the Company’s former management team and cancelation of over $600,000 long-term debt. During the fourth quarter of 2021, the Company announced the following:
- The closing of its $45 million acquisition of Genesis to transform itself to a boutique premium provider of fully integrated financial technology company with a full suite of digital financial services solutions. For the first nine months of 2021, Genesis’s Australian operations generated gross revenue of approximately $15,765,000 (AUD$21,371,861) and derived EBIT (Earnings Before Income Tax) of approximately $1,035,600 (AUD$1,403,919); all figures are unaudited. At closing, 56 stockholders of Genesis representing 95.28% of the common stock of Genesis have accepted SMC’s offer. It is expected the remaining Genesis stockholders (representing 4.72% of Genesis common stock) will come on board very soon.
- The Company engaged the independent auditing firm BF Borgers CPA PC, a PCAOB-certified auditor, to complete SMC’s financial statements audit for the years ending in 2019 and 2020.
- The Company retained Buckman, Buckman & Reid, Inc. to provide investment banking services, help in facilitating a capital raise and other advisory services.
- The Company expanded its board of directors by adding Mr. Charles R. Provini as an independent director and chairman of the board and added Mr. Warwick Kerridge as a director.
The Company’s upcoming activities for 2022 include but not limited to:
- File required documentation with regulatory bodies to attain reporting issuer status. This milestone will be initiated after the completion of the Company’s 2019 and 2020 financial statements audit.
- Up list to a senior exchange once the Company attains its reporting issuer status with the SEC.
- Raise funds of up to $15 million for working capital and future acquisitions. The Company has an aggressive agenda to increase revenues and expand its operation globally thru growth by acquisition strategy.
- Retire restricted shares. Two shareholders have provided written approval to the Company and its stock transfer agent to cancel 23 million restricted shares. Their certificates are lost and all parties are working on alternative plans to cancel them. The Company is waiting for a third shareholder to execute appropriate documentation to cancel 40 million restricted shares; the Company has in its possession the 40 million share certificate. The Company provided a proposal to a fourth shareholder to cancel 30 million restricted shares; the proposal expired and the Company didn’t hear back from the shareholder. The Company provided a proposal to a fifth shareholder to cancel 200 million restricted shares; the shareholder provided a counter proposal that is not acceptable to the Company. The Company might be forced to seek legal avenues to cancel the 230 million shares. The Company would like to inform the public that these shares are restricted and cannot be turned to free trading shares without the Company’s consent which the Company won’t provide without an amicable solution reached.
- Our Australian operation has concluded terms for the launch of a new joint venture enterprise in Australia which will be launched in Q1 2022. This joint venture consolidates our ties to the accounting sector in Australia and delivers financial planning and wealth management as well as best practice training and management solutions to the targeted accounting firms in Australia. It also accesses significant funds under advice and funds under management. Details of this Joint Venture will be announced in the coming weeks following completion of the due diligence and financial plan regarding the Joint Venture.
- Consistent with our growth plans we have identified potential acquisitions in both the United States and Australia. Preliminary due diligence is currently under way.
Fiscal year 2022 will be a defining year for the Company and its shareholders. With the acquisition of Genesis and the planned rapid growth through implementation of our acquisition strategy, the Company’s revenues could potentially reach new heights in the Company’s history. One of the Company’s utmost mandates is to focus on realizing full value of its Genesis acquisition to be reflected in a much higher share price. The Company has assembled a highly experienced team in place to capitalize on the stated objectives and initiatives.
Management Team and Board of Directors
About Genesis Financial, Inc.
Genesis, with 23 employees under its purview along with 120 financial consultants, advisors, and representatives, is a fully integrated financial technology company with a full suite of digital financial services solutions. Genesis, focusing on fintech-powered wealth management services, operated its business through two Australian regulated entities in wealth management, tax and accounting advisory services. The two operating subsidiaries are the Ballast Group and The Financial Link Group. For more information, visit www.ballast.com.au and www.tflg.com.au.
The Australian Wealth Management industry has over 25,000 financial advisors managing 2.2 million investors. The annual fees generated by the Wealth Management industry is close to $3.9 billion. According to AITE (2020) at least 10 million adults are underserved or not served at all by the Australian Financial Advisors. Genesis has firmly positioned itself to acquire and consolidate to expand in Australia’s fragmented Independent Dealer Group business sector.
About SMC Entertainment, Inc.
SMC is a versatile holding company focused on acquisition and support of proven commercialized financial services and technology (fintech) companies. SMC’s multi-discipline growth by acquisition approach is to enhance revenues and shareholder equity. For more information on SMC, visit www.smceinc.com.
Press Release Contact:
Ronald E Hughes
Chief Executive Officer
SMC Entertainment, Inc.
Safe Harbor Statement
This press release contains statements, which may constitute forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of the Company, members of its management, and assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements.
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