Source: FreeStar Technology
FreeStar Technology Corporation (OTC BB:FSRT.OB) (the "Company"), an international card payments processor and technology company, has received certain indications of interest from third parties regarding potential acquisitions, including receipt of at least one non-binding letter of intent proposal.
The Company has engaged in talks with certain parties regarding transactions that could include a sale of substantially all of the Company's assets or the assets of its subsidiary, Rahaxi Processing Oy, or a partial sale of its assets. The Company has also had discussions regarding a potential funding transaction by selling off a significant equity stake in Rahaxi, while substantially maintaining control of the Company's business and operations.
Management is continuing discussions with the current interested parties and is in the process of determining if there are other potential acquirers or equity partners that might submit proposals. Management intends to present any binding, written proposals to the Board of Directors of the Company for review and consideration. If the Board determines to move forward with any acquisition proposal, it anticipates presenting the definitive terms of any such proposed transaction to the shareholders of the Company for approval to the extent required by applicable law. Discussions remain in the early stages and the Board of Directors has not made any decision regarding whether or not to recommend selling the Company or its assets, and it may direct management to cease discussions at any time, in its discretion. The Board will take into account all aspects of any proposals, including the total consideration and the form of such consideration, such as cash or stock, as well as other structural elements and the financial strength and business plan of any potential acquirer.