TOPHEDGE AG
TOPHEDGE AG: Gold Recycling – Gold bars cheaper for institutional and larger investors
TOPHEDGE AG / Key word(s): Miscellaneous Gold Recycling – Gold bars cheaper for institutional and larger investors The Tophedge Aktiengesellschaft (9% fixed coupon bond WKN A0SLZ9, ISIN DE000A0SLZ91, which is listed on the Frankfurt stock exchange) is increasing its investment in the recycling of scrap gold through their affiliated companies. The group functions as wholesaler, and as such deals in the larger volumes implied by this function. Typical clientele are for example, pawnshops, whose business is currently booming under the current economic situation. This sector however, is also stretching its financial capabilities, as pawnshops are required by law to warehouse the pawner’s pledged wares for a minimum of four weeks. The pledged wares cannot be sold in the interim and this creates a residual financing gap. This financing gap can be alleviated via pass through pledging to a third party, and this is where we come into play. We enter into an agreement with the gold seller for the acceptance and acquisition of the pawned gold and provide both sides with a fast and efficient, unbureacratic transaction through a guaranteed purchase price. As a result we are provided with large amounts of gold scrap, and in the same vein the gold seller is provided with sufficient liquidity which all in all creates a smooth running operation. Financing and Investor Advantages As a result, the Tophedge Group and its subsidiary companies intend to increase its investment volume to a total of 30 million Euros primarily through ETF’s, commodity funds, family offices and asset managers. This investor pool will purchase physical gold directly from us via delivery contracts, whereby the Tophedge subsidiaries are capable of selling certified gold bars under market price. This is made possible through the Tophedge subsidiaries existing network of physical gold dealers and pawnshops, who are constantly being delivered gold, be it in the form of jewelry, scrap gold, or gold bearing electrical waste. Advantage for funds: Extremely low purchase price for gold bars, whereby our sales price is established upon the close of the delivery contracts. The delivery of the physical gold takes place five weeks after contract close. In addition to this comes the interest income and collateral for the investors for the financing period. In short; the participating funds realize a better performance thanks to the lower purchase price and accompanying advantages. Investment with large chances and minimal risk Our recycling companies possess all the necessary official licenses and permits for the transport and recycling of the materials involved. As such, we have eliminated all of the legal as well as tax risks. In addition to this, the group has developed a refined security structure that minimizes the risks of external intervention. Our valuable recyclable materials are accompanied by trained security teams and/or transported in armored vehicles. On top of this we insure ourselves against larger material damages with renowned insurance companies. Last but not least, we have a qualified team of laboratory analysts and gold experts that allow us to professionally analyze materials being purchased and thus additionally minimize our business risks. The aforementioned processes are constantly being reviewed and refined in the interest of maximizing and insuring our success. This provides us with a first class foundation for long term attractive yields in the business of gold recycling. This business model will help to markedly increase the earnings of the Tophedge AG. Tophedge Aktiengesellschaft 9% fexed cupon Bond ISIN DE000A0SLZ91 / WKN A0SLZ9 End of Corporate News 22.07.2013 Dissemination of a Corporate News, transmitted by DGAP – a company of EQS Group AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
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