Business
Paragon Technologies New Release
Paragon Technologies New Release.
About this update from Paragon Technologies, Inc.
[{"type":"text","content":"EASTON, PA / ACCESSWIRE / July 28, 2023 / Paragon Technologies (OTC:PGNT), which owns approximately 4.0% of the outstanding shares of Ocean Power Technologies, Inc. (NYSE American:OPTT), has filed a complaint in the Delaware Court of Chancery to enforce its rights, pursuant to Section 220 of the Delaware General Corporation Law, to inspect the books and records of OPTT (the "Inspection Complaint").On July 17, 2023, Paragon sent a demand letter (the "Inspection Demand") to OPTT requesting to inspect the Company's books and records for the purpose of investigating apparent wrongdoing and/or mismanagement by OPTT's Board of Directors (the "OPTT Board") and/or members of management, inquiring into the independence of the members of the OPTT Board, assessing possible breaches of fiduciary duty by the Company's directors and officers, and communicating with other OPTT stockholders regarding matters relating to their interests as stockholders.Paragon believes that its Inspection Demand states a proper purpose and complies with the requirements of Delaware law. Nevertheless, OPTT has adamantly refused to produce any of the books and records requested by Paragon. OPTT's actions lead us to believe that it must be hiding something that it does not want its stockholders to see.The Inspection Complaint alleges multiple bases to infer that mismanagement and/or wrongdoing has occurred, justifying the Inspection Demand. Specifically, the Inspection Complaint alleges, among other things:In its filings, OPTT admits that, "[s]ince [its] inception, the cash flow from customer revenues have not been sufficient to fund [its] operations and provide the capital resources for [its] business."OPTT further admits that it "ha[s] incurred net losses since [it] began operations in 1994."OPTT has never been able to successfully commercialize any of its products or services, despite repeatedly issuing Form 10-Ks touting the enormous market size and opportunity for OPTT's solutions.In 2021, the Company acquired Marine Advanced Robotics, Inc., but, as OPTT admits in its filings, it has "not achieved profitability of this product line" and does not know whether it will ever be able to do so.Under the current Board and management, OPTT's financial decline has only accelerated, and the Board and management...