- Ciscom, a newly listed holding company stock, is crying foul over DLT Resolution’s recent claim of becoming its majority shareholder
- DLT’s executive chairman, Drew Reid, was relieved of his duties as Ciscom’s chief executive officer in November 2023
- Ciscom acquires, manages and invests in companies in the information and communication technology sector
- Ciscom stock is down by 92.35 per cent since inception in June 2023
Ciscom (CSE:CISC), a newly listed holding company stock, is crying foul over DLT Resolution’s (OTC:DLTI) recent claim of becoming its majority shareholder.
DLT, which focuses on software-as-a-service acquisitions, claims to have acquired 42.05 per cent of Ciscom stock as part of its growth strategy centred on advancements in technology and telecommunications. The news comes just one month after DLT announced a 19.9 per cent ownership stake.
Drew Reid, DLT’s executive chairman, was relieved of his duties as Ciscom’s chief executive officer in November 2023. He filed a wrongful dismissal claim with the Ontario Superior Court of Justice in January.
Ciscom is alleging that DLT’s purchases are “unqualified and unlawful,” according to Wednesday’s news release, citing discrepancies with shares held in escrow, with brokerages, and on the Toronto Stock Exchange. It has filed a report with the Ontario Securities Commission and the Canadian Securities Exchange, citing DLT’s failure to comply with early warning, takeover bid and insider reporting requirements.
The holding company is also conferring with advisors and regulatory authorities about whether DLT’s claims require the activation of its shareholder rights plan, which ensures fair shareholder treatment in the event of a takeover bid.
As the situation unfolds, Ciscom is urging shareholders to exercise extreme caution in any dealings with DLT because of its questionable “governance” and “financial opaqueness,” as well as “the dubious feasibility of its planned acquisitions and business strategies” and the “limited liquidity due to its OTC Pink market listing.”
Ciscom acquires, manages and invests in companies in the information and communication technology sector. The holding company stock targets entrepreneurs seeking a defined succession plan for profitable small- and medium-size enterprises.
Ciscom stock (CSE:CISC) last traded at C$0.065 per share. The stock is down by 92.35 per cent since inception in June 2023.
Join the discussion: Learn what other investors are saying about this holding company stock on the Ciscom Bullboard, and check out Stockhouse’s stock forums and message boards.
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