Ocean Thermal Energy Corporation listed on GXG Markets
Lancaster-based Ocean Thermal Energy Corp. has been admitted to trade on the GXG Markets, the company announced today.
"The public stock listing will allow OTE to raise additional future capital, provide excellent investor visibility and support OTE’s growing pipeline of global projects for renewable energy, drinkable water and opportunities for sustainable food production,” Jeremy P. Feakins, executive chairman of OTE, said in a news release.
OTE is a turnkey supplier of ocean thermal energy conversion and seawater air conditioning worldwide, providing financing, design, construction and operation of OTEC and SWAC systems. It has offices in Pennsylvania, Virginia, The Bahamas, Cayman Islands, United States Virgin Islands, Hawaii, London, United Kingdom and Sweden, according to the release.
A financial statement posted on GXG indicates that OTE had net losses of $10.6 million in 2012 and $8.7 million in 2013, and that, as of Dec. 31 on both years, the company had "one customer whose sales account for 100% of total sales."
The statement also says the company has net operating loss carry forwards "for income tax purposes of approximately $9,901,000" that "is allowed to be offset against future income until the year 2033."
Its employment agreements call for annual salaries as follows, with partial deferment until the company "reaches its first financial close on a project with a capital cost of $25 million or more":
* CEO, $350,000 and bonuses equal to one times annual salary plus 500,000 common shares for each additional project that generates $25 million or more revenue to the company.
* CFO, $210,000 and bonuses equal to one times annual salary plus 250,000 common shares for each additional project that generates $25 million or more revenue to the company.
GXG describes itself as specifically designed for small and medium enterprises that are looking to gain access to financial markets. It has three tiers, and the listing under symbol OTEC is in the first one -- GXG First Quote, "for early-stage growth companies."
The other tiers are GXG Main Quote, "for growth companies looking for a public quote," and GXG Official List, "for companies seeking a full listing on a regulated market."
GXG says, "Shares are traded directly through GXG's electronic trading platform, in real time, without the requirement for prices to be set by market makers. This provides the market with greater transparency and faster transaction reporting, and eliminates the spread between the price a buyer pays and the price a seller receives."
“We are delighted that our securities are now admitted to trade on the GXG First Quote and settle electronically via EUROCLEAR, Sweden," Feakins said. "The GXG Markets provide an excellent exchange for our initial listing as it promotes a full regulatory environment that is cost-efficient while giving our shareholders access to a modern, electronic trading platform without burdensome expense to OTE typical of other exchanges."