Current Report Filing (8-k)
July 22 2016 - 4:26PM
Edgar (US Regulatory)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event
reported): July 18, 2016
STRATEGIC INTERNET INVESTMENTS, INC.
(Exact name of Registrant as specified in its
charter)
|
|
|
|
|
Delaware
|
|
033-28188
|
|
84-1116458
|
(State or other jurisdiction of incorporation or organization)
|
|
Commission File Number
|
|
(I.R.S. Employer Identification No.)
|
|
|
|
Jood Palace Hotel
36-A Street Off Al Rigga Road,
Suite 1058
|
|
|
Deira Dubai P.O. Box 42211
UNITED ARAB EMIRATES
|
|
N/A
|
(Address of principal executive offices)
|
|
(Zip Code)
|
|
|
|
|
|
|
|
Registrant’s telephone number,
including area code: (971) 50-420-7360
|
|
24 First Avenue East, Suite C
|
|
Kalispell, MT 59903
|
|
(former name of former address, if changed since last report)
|
|
Check the appropriate box below if the Form 8-K filing is
intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
|
|
|
o
|
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
|
|
|
o
|
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
|
|
|
o
|
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
|
|
|
o
|
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
Item 1.01 Entry into a Material
Definitive Agreement.
On July 18, 2016, as part of the closing of
the purchase of the AkCenter Shopping Center in Ankara, Turkey (the “AkCenter”), the Company and the shareholders of
PG Proje Geliştirme Gayrimenkul A.S., a special purpose vehicle formed in order to purchase the AkCenter (“PG Proje”),
amended the prior Sale and Purchase Agreement entered into on November 3, 2014.
The Sale and Purchase Agreement contemplated
that the Company would issue to an escrow agent debentures of the Company equal to 60,000,000 euros, and in turn, the sellers of
the AkCenter (the “Sellers”) would convey into escrow the title deeds for the AkCenter. Since that time, the Sellers
conveyed the title deeds to PG Proje; as a result, the parties concluded that the escrow arrangements were unnecessary since title
had already passed to PG Proje. Consequently, the Sale and Purchase Agreement was amended as part of the Securities Purchase Agreement
described below.
In addition, the Sale and Purchase Agreement
contemplated that the purchase price of the AkCenter would be 60,000,000 euros. The parties agreed to change this to the nearest
$100,000 U.S. dollar equivalent, or US$66,000,000. Furthermore, the Purchase and Sale Agreement was amended to state the debentures
issued to the Sellers would have a maturity of 5 years and a conversion price of $1.00 per share.
The Purchase and Sale Agreement was also amended
to set forth the name of the management company that will manage the AkCenter and the name of the construction company that will
handle the renovation of the AkCenter. As explained below, each of the parties described above was issued Secured Convertible Debentures
of the Company (the “Debentures”).
Item 2.01 Completion of Acquisition
or Disposition of Assets.
On July 18, 2016, the Company closed the acquisition
of the AkCenter. The Company agreed to purchase the AkCenter on November 3, 2014. In order to close the purchase, the Company issued
$66,000,000 of its Debentures, as described further below, in exchange for 100% of the shares of PG Proje, which owns the AkCenter.
The AkCenter is an outlet shopping center in Ankara, Turkey with 166 outlets.
The AkCenter was purchased from PG Proje. Our
Chief Executive Officer, Abbas Salih, is associated with several entities that own shares of PG Proje. The purchase price was determined
by the Sale and Purchase Agreement that was entered into with the Sellers.
Item 2.03 Creation of a Direct
Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.
On July 18, 2016, the Company issued a total
of $71,800,000 in Debentures in order to close the purchase of the AkCenter and to pay for management and renovation services for
the AkCenter.
The Debentures have the following features:
|
·
|
The holder may convert the Debenture into common stock of SIII at any time at a price of $1.00
per share
|
|
·
|
The Debenture will automatically convert into common stock upon the closing price of the Company’s
common stock closing above $1.00 per share for 20 consecutive trading days
|
The Debentures are secured by the AkCenter.
Item 3.02 Unregistered Sales of
Equity Securities.
On July 18, 2016, the Company entered into
a Securities Purchase Agreement for the sale of $71,800,000 of Debentures.
As stated earlier, the Company issued $66,000,000
of Debentures to the shareholders of PG Proje in exchange for their shares of PG Proje. In addition, the Company issued $4,400,000
of Debentures to Pivotek-Akun-Alpinsaat JV, as payment for certain renovations to be undertaken on the AkCenter. The Company also
issued $1,400,000 of Debentures to Retail Square Gayrimenkul Yatrimlari Ve Danişmanlik S.A. as a deposit toward two years
of management services to be rendered under a Rental and Facilities Management Agreement, which has already been entered into.
The Company claims an exemption from the registration
provisions of the Securities Act based upon Regulation S, given that the securities were sold to non-U.S. investors.
SIGNATURE
Pursuant to the requirements
of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned thereunto
duly authorized.
|
|
|
|
STRATEGIC INTERNET INVESTMENTS, INC.
|
|
|
|
|
|
|
Date: July 22, 2016
|
By:
|
/s/
Abbas Salih
|
|
|
Abbas Salih
Chief Executive Officer
|
|
|
Strategic Internet Inves... (CE) (USOTC:SIII)
Historical Stock Chart
From May 2024 to Jun 2024
Strategic Internet Inves... (CE) (USOTC:SIII)
Historical Stock Chart
From Jun 2023 to Jun 2024