5 Jan 2023
Letter to Shareholders from CEO of Readen Holding Corporation (OTC Pink: RHCO)
Welcoming in this New Year, I wish you all good health and happiness. And we are thankful for all the support you gave us in 2022.
Reflecting on the past year, I am tremendously proud of our team and of how we continued to develop further in Fintech, Online Payment, and E-commerce. We are optimistic for the year ahead and confident in our ability to achieve the goals we have set.
Past year has been a hectic year for RHCO, but it was also a great year of building and developing. We have created several platforms with successful activities, all have brought us fruitful results and promising future. Although we encountered some setbacks in the process, everything is back on the right track now.
We started the year with an impressive January that saw a 700% revenue gain comparing to December 2021. It was due to the launch of our Oke Partners discount referral platform (www.okepartners.com), and Readies e-voucher (www.readies.biz) operated by our 100% owned subsidiary Ares Technology. Unfortunately, after a flying start in the first quarter, Readies’ business had to be put on hold for five months due to a charge back dispute with Stripe, at that time a partner of our online payment business. This collaboration has been cancelled. Yet even with this issue, we managed to increase our revenue without Readies’ running. Give credits to RHCO’s other business activities.
Another setback and the reason of the delay of our up-listing process, has been the cancellation of the acquisition of Quentin S.A., the company which owned 64 acres of prime real estate alongside the Rhone River in France. RHCO has sent the agreed purchase price of 16 million shares of RHCO common stock to a notary. Yet after 18 months the seller still failed to deliver the shares of Quentin S.A. as agreed in the agreement, thus RHCO has to take legal action. And because of this, our up-listing process needs to wait until this legal dispute is resolved, which we estimate in the next 60 to 90 days.
In addition, we had to cancel the acquisition of Fullness Grace International Limited and Raikoku Company Limited. After final due diligences, we realized there were complications in the companies’ agreements with other organizations, so we decided to stop.
On the bright side, in 2022 we have made major improvement to both of our E-commerce platforms. Neckermann Direct (neckermanndirect.eu) is our retail platform selling directly from Asian suppliers to European customers with more than 150,000 products online. And Two Percent (twopercent.hk) is selling top European fashion, cosmetic and body care brand products to Asia. Both platforms are ultimate competitive in price and service, and they are growing in the speed we forecasted and bringing us solid revenues.
In the third quarter, our minority share holding company ANGELO MERMER MADENCİLİK LİMİTED ŞİRKETİ (www.angelovalentinomarble.com) has resumed operation and started shipment of onyx marble to China. The company has the world’s largest onyx reserves, and its economically recoverable high-grade marble reserve amount to 1 million tons. Based on the valuation report of Baker Tilly (one of the largest valuation firms in the world) as of 31 March 2021, the investment value of ANGELO MERMER was calculated at USD 1 billion.
And in the fourth quarter we have successfully launched Oke Travel Club / Oke Club, a new premium membership program for Oke Partners / OkeApp members. With the offering of more than 1.3 million merchants’ discounts globally, Club Members can enjoy discounts up to 60% off for hotels, resorts, theme parks, cruises, air tickets, car rentals, dining, entertainment as well as retail shops online and offline all over the world. Oke Travel Club has been stimulating the growth of Oke Partners / OkeApp, and optimizing the utilization of OkePay (www.okepay.biz), our own payment platform.
So in summary, all our revenue generators are set to go in full speed as a fleet this year. With OkePay as our payment platform in the backcourt, Oke Partners and Oke Club will be the global marketing frontcourt, plus Neckermann Direct and Two Percent being the solid midfielder, and Readies is also ready to be the game changer. We expect this full team to perform so much better and this has been the synergy we have planned from the very beginning.
We know that our people are our most important asset, and we always look for great people to join us and help us to go even further. We are honored to have Mr. Simon Tang on board as Director of OkePay NZ, who will be overseeing the development OkePay and Oke Partners. Another great addition is Mr. Harry Westbroek as our Director of European Business. Both are veterans with excellent accomplishments in Fintech and I.T. industries, and they are already working on the expansion of RHCO’s platforms to various parts of the world. Oke Partners will be launching in Europe very soon under Harry’s direction, planning to add 5,000 international students as OkePartners at the start. We are also in talks to bring Oke Partners to South America.
I strongly believe 2023 will be RHCO’s breakthrough year, and we have a lot of work to do. All the hard work will bring us fruitful results, and we will see it sooner than later.
In closing, I would like to acknowledge my colleagues around the world for what we have achieved together and how we have done it. I would also like to thank you again, my fellow shareholders for the trust and support you have placed in our team and our company. Wish everyone another great year ahead.
Richard Klitsie, CEO
5 January 2023