POINT ROBERTS, WA / ACCESSWIRE / November 18, 2021 / SMC Entertainment, Inc. ("SMC" or the "Company") (OTC PINK:SMCE) is pleased to announce it has engaged the independent auditing firm BF Borgers CPA PC ("Borgers") as its certified public accountant to audit SMC's financial statements for the past two years in preparation of SMC filing required documentation with the SEC to attain a reporting issuer status.
On November 10, 2021, SMC announced the execution of a letter of intent to acquire 100% equity in Genesis Financial Inc. ("Genesis"). Genesis, a diversified financial services company with a focus on fintech-powered wealth management advisory services, operates its business through two Australian regulated entities in wealth management, tax and accounting advisory services. For the nine months to September 2021 the Australian operations generated gross revenue of approximately $15,765,000 (AUD$21,371,861) and derived EBIT of approximately $1,035,600 (AUD$1,403,919). All figures are unaudited.
Borgers will initially focus on auditing SMC's financial statements for the past two years. After SMC's acquisition closing of Genesis, Borgers will audit SMC and Genesis financial statements on consolidated basis. Borgers has already audited Genesis' financial statements for the years 2019 and 2020. Selecting and retaining the services of Borgers makes SMC's future consolidated financial statements audits, inclusive of Genesis, expeditious and cost effective.
In addition to the audit milestone announcement, SMC is pleased to provide a progress report on the Genesis acquisition closing:
- SMC and Genesis have exchanged second draft of the definitive agreement. SMC anticipates signing the definitive agreement soon and plans to close the acquisition in calendar 2021.
- SMC has held discussions with a number of investment banking firms/hedge funds to either lead or syndicate SMC's capital raise to support the Genesis acquisition. SMC will make appropriate announcements once investment partners have been selected.
- SMC will be coordinating activities with its securities attorney to file required documentation with the SEC to attain a reporting issuer status. This filing will be after the closing of the Genesis acquisition and completion of consolidated audited financial statements for the combined entities. After becoming a reporting issuer, SMC plans to apply for a company name and symbol change, and up list to a senior exchange.
Ron Hughes, Chairman and CEO of SMC, and Erik Blum, President of SMC, both stated, "We are extremely pleased with the speed and progress of this acquisition. We're very thankful to our Genesis partners who have been very proactive and receptive to our initiatives shedding weeks and months, from the acquisition process. Without the full cooperation of the Genesis team, we wouldn't have progressed thus far. We would also like to take a moment to thank our valued shareholders and financial supporters who have been waiting for a long time to consummate a deal of this caliber."
About Genesis Financial, Inc.
Genesis is a diversified financial services company focusing on fintech-powered Wealth Management business mainly through two Australian regulated entities in wealth management, tax and accounting advisory services. The two operating subsidiaries are Ballast Accounting and The FinancialLink Group. For more information, visit www.ballast.com.au and www.tflg.com.au.
About BF Borgers CPA PC
Borgers is a full-service, PCAOB (Public Company Accounting Oversight Board)-certified public accounting firm, providing audit, tax, and consulting services. For more information, visit www.bfbcpa.us.
About SMC Entertainment, Inc.
SMC's multi-discipline revenue approach provides a building block to enhance both revenue and balance sheet growth thru acquisitions. For more information, visit www.smceinc.com.
Press Release Contact:
Ronald E Hughes
Chief Executive Officer
SMC Entertainment, Inc.
ron.hughes.operations@gmail.com
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.
SOURCE: SMC Entertainment, Inc.
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