Kranem Corp. announced that it has reclassified its May 13, 2011, acquisition of Xalted Networks, Inc. as a reverse recapitalization, which is often referred to as a reverse merger, rather than a stock acquisition.
Kranem has determined that its unaudited financial statements for the three month period ended June 30, 2011 and included in its quarterly report on Form 10-Q for the reporting period ended June 30, 2011 should be restated to reflect the new accounting treatment of the Xalted Networks, Inc. transaction. Accordingly, Kranem will file an amended 10-Q (10-Q/A) with the Securities and Exchange Commission for the three month period ended June 30, 2011. The reclassification and the revised accounting treatment of the Xalted Networks transaction is not expected to have a material effect on Kranem’s liquidity, cash resources, or future business operations.
The Kranem/Xalted Group is a leading global provider of end-to-end Proactive Intelligence, Analytics and Revenue Maximization software and solutions serving some of the world’s largest Law Enforcement Agencies, Government Agencies and Telecom and Data Services Providers. By providing advanced tools to monitor communications and optimize decision making, the Kranem/Xalted Group helps law enforcement and government agency customers defend against security threats created by terrorists and criminal activity throughout the world. For Telecom customers, the Kranem/Xalted Group provides software and solutions that are created to improve business performance, increase operational efficiency, maximize revenues and enhance safety and security.
Kranem is headquartered in Menlo Park, California, USA, with additional offices located in Mumbai, Delhi, Bengaluru, and Baddi, India. For more information, please visit: www.kranem.com.
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