Brightlane to Receive up to $26,000,000 via Sale and Purchase Agreement
HOUSTON, TX, July 19, 2019 (GLOBE NEWSWIRE) — via NEWMEDIAWIRE — Brightlane Corp. (BTLN), together with Real Capital International Limited, a British Virgin Islands company (“Real Capital”) and AFM Corp., a wholly owned subsidiary of the Company (“AFM”), has announced, subject to the sale and purchase agreement dated July 9, 2019, the acquisition of 612 miles of optical fiber cable specifically designed for long-haul broadband infrastructure in developing countries. Under the Company’s specialty financing offering, Real Capital will act as the agent to the international telecommunication and governmental marketplace to facilitate the sale of the cable pursuant to this agreement.
“This agreement aligns with our strategy of expanding our specialty financing capabilities with leaders in new international markets and technology fields,” stated Steve Helm, Chief Executive Officer of Brightlane Corp. Mr. Helm added, “This is a unique opportunity with our partners as the global demand for fiber optic deployment continues to grow.”
With a value of $10 per foot, this agreement places the value of the optical fiber cable at approximately $32,000,000. Brightlane Corp. and AFM will be purchasing the cable for $6,000,000 (which Real Capital can choose to convert the $6,000,000 into Brightlane Corp. common shares at a purchase price of $0.50 per share) and by issuing 40,000,000 Brightlane Corp. common shares. It is estimated that the total sale of the cable will generate between $21,000,000 and $26,000,000 in operating capital for Brightlane Corp. The transaction will result in the issuance of Brightlane Corp.’s common shares at an effective purchase price of $0.52 to $0.57 per share issued to Real Capital. The Brightlane Corp. common shares and the cable will be placed in escrow until the sale is complete, allowing the shares and cable to be returned and the cash consideration to be reduced on a pro-rata basis should Real Capital be unable to sell the entire amount of cable at or above the expected price.
“Brightlane has been a great partner in this endeavor and we believe this agreement will open up new opportunities for both organizations,” stated Guglielmo La Bella of Real Capital. “Their quick understanding of the telecom sector coupled with our deep relations in the aggressive international demand for connectivity of this kind gives us a unique market differentiation.”
In the last decade, optical fiber cable has continued to be the preferred transmission medium catering to cloud-based applications, audio-video services, and Video-on-Demand services because of its scalability, security, and ability to handle the vast amount of backhaul traffic being generated.
About Brightlane Corp.
Brightlane Corp. (BTLN) is disrupting traditional methods of specialty financing on an international scale with fully underwritten solutions in a variety of industries leveraging the full spectrum of the capital structure products. Brightlane is building a diversified, low-volatility and current yield portfolio of services for middle market companies. The company has distinctive abilities to execute the acquisition and effective management of right-priced, real property via its experienced management and strategic partners in the multi-tenant, single-family and commercial market sectors through various rental, lease and right-to-purchase options. Additionally, Brightlane is further developing its lending platform and proprietary deal flow to include direct lending tools and payment technologies to expand value creation.
Notice Regarding Forward-Looking Statements
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements that include the words “believes,” “expects,” “anticipate” or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from those expressed or implied by such forward-looking statements. In addition, description of anyone’s past success, either financial or strategic, is no guarantee of success. This news release speaks as of the date first set forth above and the Company assumes no responsibility to update the information included herein for events occurring after the date hereof.