GPL Holdings, Inc.

What they do

GPL Holdings, Inc. was incorporated in Nevada on July 30, 2021. In May 2022 it completed a holding company reorganization with Benchmark Energy Corporation but then separated from BMRK. In August 2023, GPL Holdings merged with Global Pharma Labs, Inc., making Labs a wholly owned subsidiary and adopting its biopharmaceutical business plan. The company now states it is dedicated to developing new therapies and providing low-cost healthcare products, including prescription and non-prescription drugs, medical supplies, dental supplies, and equipment. It explicitly says it is no longer a shell company.

Revenue drivers

• Pharmaceutical product distribution — The company plans to distribute anticipated pharmaceutical products through a partnership with Vitam Dandum Global Pharma Labs Limited in Zambia, Africa, but has not yet generated revenue from this activity.
• Osteoarthritis therapy — Through Global Pharma Labs, Inc., the company seeks to complete clinical trials of an osteoarthritis therapy, but no product revenue has been reported.
• Patent-pending therapies — The company intends to file provisional patent applications for treatments for onychomycosis, genital herpes/cold sores/shingles, and erectile dysfunction, but these are not yet commercialized.
• Retail and wholesale pharmacy — The company plans to apply for retail and wholesale pharmacy licenses in California in 2024, but no pharmacy revenue exists today.

Recent performance

For fiscal year 2023, GPL Holdings reported a net loss of $62,743, compared with a net loss of $44,611 in fiscal year 2022. Operating cash flow was negative $62,743 for fiscal 2023. As of July 31, 2023 (the latest annual balance sheet date cited), total assets were $10,778, total liabilities were $141,778, and shareholder equity was negative $131,000. Cash and cash equivalents stood at $9,133. Diluted EPS for 2023 was $0.

Strategy

The company's stated plan is to finalize and submit provisional patent applications to the USPTO for onychomycosis, genital herpes/cold sores/shingles, and erectile dysfunction. It aims to secure at least $500,000 to cover patent legal work and obtain a business license for its contractual partner, Vitam Dandum Global Pharma Labs Limited, in Zambia. The company also plans to apply for retail and wholesale pharmacy licenses in California in 2024. Management acknowledges that current available funding falls short of capital needs and that it has relied on funding from CEO and director Sylvester L. Crawford, who is under no obligation to provide further funding. The company completed a merger with Global Pharma Labs, Inc. on August 14, 2023, to adopt that business plan.

Risks

• Going concern and liquidity — The company has negative shareholder equity of $131,000, total liabilities of $141,778 against total assets of $10,778, and no revenue, relying on CEO funding with no obligation to continue.
• No commercial products — The company has not yet commercialized any therapies or products and faces clinical trial, patent, and regulatory hurdles before generating revenue.
• Dependence on key individual — Sylvester L. Crawford is the sole officer and director and controls GPL Holdings, LLC, the controlling shareholder, concentrating decision-making and funding dependence.
• Funding shortfall — Management estimates it needs at least $500,000 but states current funding is insufficient, creating risk of failure to execute its business plan.

Outlook

Management states that it requires a minimum of $500,000 to implement its plan of operations for the next twelve months, including patent filings and licensing efforts. The company intends to apply for pharmacy licenses in California in 2024 and to secure funding for its Zambia partnership. However, it notes that current available funding falls short and that its officer and director has informally agreed to provide funding but is under no obligation to do so.