NEW YORK, NY, Dec. 21, 2018 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Metrospaces, Inc. (OTC: MSPC) today issued a letter to shareholders with 2018 year-end recap of state of business.
LETTER TO OUR SHAREHOLDERS
To Metrospaces Inc. Shareholders:
Looking back on 2018, we can only feel extremely proud of the amazing turnaround we saw in every aspect of our business. Our achievements in financial performance, business plan execution and setup of continued growth in our present business, as well as new ones are quite noteworthy, palpable and give us a real sense of achievement. This last year we saw a concrete consolidation of our business plan and our capacity to execute has become well-established. As a private equity investor and operating firm, we have proven that we have the ability to give operators the financial tools and additional management skills to accompany them from a small private firm to more established companies, with proper governance, access to more financing and thus play an important part in their mid and long-term growth. With IQSTel (OTC:IQST), what started out with a simple Letter of Intent back in the 1Q of 2017 has become a complete success story and a hard example of what our management team is capable of doing, alongside talented management teams in small, private companies. When we first started looking at IQSTel for a possible investment, the company had a run-rate of approximately $4.5 million in annual revenue. Clearly, we can only take credit for a small part of this success, however, Metrospaces was a key part in raising approximately $1.6 million in debt financing and approximately $400,000 in different equity financings, including direct investments and 3rd party financings. Today, asides from achieving a direct publicly listing, IQSTel is on its way to closing a very profitable year in 2018, with close to $13.5 million in revenue. This public listing as an individual company has given them a clearer path to direct financing and more importantly, better tools for acquisitions and thus become an add-on acquisition platform. IQSTel management team deserves pretty much all the credit for their success, but we feel very proud to have been able to recognize the opportunity, but importantly to be an important value-added financial partner to them.
Here are some highlights for Metrospaces for the year 2018:
· Comprehensive Net Income increased from $1.3 million in 2017 to approximately $14 million (est. 2018 YE)
· Net book value increased from $12,200 to $9.2 million
· Public direct listing of Etelix USA.com via merger with public company to become OTC:IQST
· Approximately $18 million of publicly listed common shares we can leverage into new investments
· Current revenue run-rate of main portfolio company from $8 million to $16 million in 2018 YE.
Even though there are a lot of events and financial achievements we can look back, we think the most notable one is that now we have the assets to leverage into new investments, thus giving us an additional source of financing, and not just rely on our public market cap and the sale of our common stock to fund investments and operations.
Additionally, even though we will continue to increase our commitment in IQSTel, we have identified the cannabis real estate market as our next business focus. Even though we will always be active in our “bread-and-butter” business of luxury boutique hotels and residential, we see the cannabis real estate market as one of the most interesting and potentially lucrative niche real estate markets in a generation. We understand that this industry is in its infancy, and thus we see the need for Metrospaces to be an important part of this business, if we are to truly be a player in the niche real estate industry.
We very much look forward to an even more successful 2019, a year where we expect IQSTel to continue its stellar organic and growth by acquisitions as well as the full launch of our cannabis investments by acquiring revenue-generating real estate assets. We thank you, our shareholders for your continued interest in our, YOUR, Company, as we continue to consolidate and grow. We wish all a very happy and successful 2019!
Relevant Links:
http://www.etelix.com/
Safe Harbor Statement: Statements in this news release may be "forward-looking statements". Forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions or any other statements relating to our future activities or other future events or conditions. These statements are based on current expectations, estimates and projections about our business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and are likely to, differ materially from what is expressed or forecasted in forward-looking statements due to numerous factors. Any forward-looking statements speak only as of the date of this news release and Metrospaces Inc. undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this news release.