Jason Kolbert: Yeah, perfect. Thank you so much. Really appreciate the update. Thanks, Saagar.
Saagar Govil: Sure.
Operator: Our next question is from Richard Arnold, who’s a private investor. Please proceed with your questions.
Unidentified Analyst: My question is directed to Mr. Wyckoff.
Paul Wyckoff : Yes, sir. Okay. With that, I answer for you.
Unidentified Analyst: Do you know the cost to purchase and develop the assets that were divested and purchased by management led by Mr. Govil? That last was a quote from an article that divulged your divestiture.
Paul Wyckoff : I don’t know that figure off the top of my head, I can get back to you off this call and provide —
Unidentified Analyst: Can you give me a roundabout number?
Paul Wyckoff : Cost to develop probably in the neighborhood of $7 million.
Unidentified Analyst: And how much cash was received from Mr. Govil, in his lead management by Cemtrex for those divested assets?
Paul Wyckoff : The deal was, was publicly disclosed. And it was a combination of cash and investment opportunity within the Smart Desk company and also royalties on their revenues.
Unidentified Analyst: And how much cash was given to Centrex by Mr. Govil and his management people.
Paul Wyckoff : I believe the amount was $85,000.
Unidentified Analyst: So $7 million worth of assets were sold to him and his group?
Paul Wyckoff : Well, I mean your first question was how much the cost to develop those companies, not how much the assets were?
Unidentified Analyst: And how much was the net asset value of the divested assets when purchased?
Paul Wyckoff : About billion dollars.
Unidentified Analyst: So, some for $85,000, he got a million dollars worth of assets, and then promises of something that may or may not happen.
Saagar Govil: Yeah, so if I may interject. Richard, so I can think I can sort of generally understand where you’re going with it. So I’ll say a couple of things. One is when the company explored options before the assets, we looked at a lot of different options. And these were all money losing businesses. And so there were no buyers lining up for these things. So I want to be clear about that, that the opportunity to make swift changes to the company, they’re just not — they were not readily available for the company and meaning that we approached different investment bankers, and we talked to different advisors about the various options. So because these companies were losing a lot of money, there wasn’t an opportunity to get a lot of cash for them.
So it’s not like I’m getting a sweetheart deal here. There’s no buyers lining up, right? I mean, that’s the reality. Okay. The second thing is, the company’s market cap was less than cash. So for a big part of most of 2022. And so, when you think about the collection of seven different brands, under the Cemtrex umbrella that is trading less than cash, the value of these businesses under this umbrella wasn’t a — the market was not recognizing that value. And so the company had to make some strategic decisions and we had to do it quickly. And this was discussed at the board level in terms of we need to make some strategic changes about what we’re doing here. And that was discussed at length and the company made an announcement around this in —
