News Release...
Monday October 6 8:30 AM EDT
Company Press Release
Java Centrale, Inc. Announces Completion of the First Phase of an $8
Million Equity Funding
SACRAMENTO, Calif., Oct. 6 /PRNewswire/ -- Java Centrale, Inc. (Nasdaq:JAVC) retained E.C. Capital Ltd., a New
York based investment banking firm, to raise equity capital in a two-stage private offering. In both stages, the Company would
issue units to investors consisting of 250,000 shares of Company Common Stock, 250,000 ''A'' warrants, and 250,000 ''B''
warrants. The offering price for each unit in both stages is $25,000. E.C. Capital has undertaken to place 25 units in the first
stage, of which 21 have already been sold, and 35 units in the second stage. The Company anticipates completing the 25 units
by October 31, 1997, and the 35 units after the approval of the proposals being voted on by the shareholders. If all the units
are sold and the warrants are exercised, the Company expects to raise in excess of $8 million. If the proposals described
below are not approved, the warrants will not be issued.
The Company has set October 31, 1997 as the Annual Meeting date for shareholders of record as of October 1, 1997. The
Company's Board of Directors has approved for shareholder vote the following items among others: (1) a one for ten reverse
split of the Company's outstanding common shares, (2) an increase in the post-reverse split authorized shares to 50,000,000,
(3) re-incorporation in the State of Delaware and a change in the Company's name from Java Centrale, Inc. to Paradise
Bakery & Cafe, Inc.
Additionally, the Company announced that Steven Orlando has resigned as Chief Financial Officer and that Jeffrey Dudley has
been appointed as Vice President and Chief Financial Officer.
There are currently 33 Java Centrale cafes, carts and kiosks operating nationwide with new openings scheduled for Chino
Hills, Chatsworth and Long Beach, California, and Virginia Beach, Virginia. The Paradise Bakery & Cafe subsidiary has 52
locations with additional cafes scheduled to open in San Diego, California, Phoenix, Arizona and Dallas, Texas.
SOURCE Java Centrale Inc.
Jim |
