KNIC NEWS:
The Shemano Group Completes $5 Million Private
Placement For The L.L. Knickerbocker Company
LAKE FOREST, Calif., Sept. 11 /PRNewswire/ -- The L.L. Knickerbocker Co., Inc.
(Nasdaq:KNIC) today announced that it has completed the private placement of a $5 million
convertible debenture. The Company said the financing was done by a single institutional investor.
The Shemano Group in San Francisco, California, engaged as the Company's investment bankers in
July 1997, acted as the placement agent.
Proceeds from the transaction will be used to finance the expanding worldwide operations of the
Company and its subsidiaries. During the first six months, the debentures are convertible at a fixed
price which represents a premium to the common stock price at closing. Following the first six
months, the debentures are convertible at either the fixed price or a variable price based upon an
average of market prices prior to conversion. The Company retains the right to redeem debentures
that are subject to a conversion notice, in the event the variable conversion price is below the fixed
price,
``This placement strengthens the Company's financial resources to enable us to fully realize the
growth potential of our expanding international operations,'' said Louis L. Knickerbocker, Chairman
and CEO.
The L.L. Knickerbocker Co., Inc., markets a wide variety of branded collectibles, jewelry and
accessories and consumer products. The Company's primary focus is to create and build Brands
which can be marketed through a variety of channels, including national and international retail and
direct response mail. The Company has a 38.3% equity investment interest in Pure Energy
Corporation, the exclusive worldwide licensee to an alternative fuel. Recently, the U.S. Patent Office
issued a Notice of Allowance for claims covering the alternative fuel which is patent pending. In
addition, the Company has a substantial equity interest (approximately 31%) in Ontro, Inc. and
Insta-Heat, Inc., involved in the development of containers which self- heat food and beverages. The
Company recently entered into a joint venture with Arkenol Holdings, LLC to construct biorefineries
in a number of Southeast Asian countries. Visit The L.L. Knickerbocker Company web site at
www.knickerbocker.com.
This press release contains forward-looking statements within the meaning of the Securities Act of
l933, as amended, and the Securities Exchange Act of 1934, as amended, which involve risks and
uncertainties, including, but not limited to, economic, competitive, governmental and technological
factors affecting the Company's operations, markets, products, services and prices, and other
factors. The Company's actual results could differ materially from those projected in the
forward-looking statements as a result of the factors described herein.
SOURCE: L. L. Knickerbocker Co., Inc.
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......................... Bob |
