Following the exchange, Ore Holdings will have positive stockholders’ equity of $3.8 million and no long-term debt. The company will have 8,663,519 common shares outstanding and a total of 1,005,228 Series A Preferred Stock, convertible into 40,209,140 shares of common stock, outstanding. Assuming full conversion of the Series A Preferred, Ore will have 48,872,659 of common stock equivalent shares.
Following the exchange, Steel Partners, Ltd. will have no further rights under the note, which will be cancelled. On an as-converted basis, Steel Partners, Ltd.’s share of the outstanding equity in the company will increase to 90.6% from 47.1%. The transaction is expected to be completed on or about November 12, 2013.
About Ore Holdings
Ore Holdings, www.oreholdings.com, is a management company focused on strategic investments aimed at enhancing the value of the entities within its portfolio.The Certificate of Incorporation of Ore Holdings contains provisions prohibiting certain transfers of the company's common stock that would affect the ownership of holders of 5% or more of the company’s common stock (subject to certain exceptions) in order to protect the company's ability to utilize its net loss carryforwards to reduce potential future federal income tax obligations.