Press Release:
June 10, 1999 08:21
eConnect Reports $500,000 Financing Arrangement
LOS ANGELES--(BUSINESS WIRE)--June 10,1999--eConnect (OTC:BB:BETT), a fully reporting company, today announced that it has completed a financing arrangement with an accredited investor for $500,000 in preferred equity.
According to an eConnect spokesperson, "This financing is consistent with our long-term plans for growing the company, and building shareholder value. These funds, along with the $2 Million credit line announced last week, will be used to expand and accelerate our software development efforts, and to expand our marketing activities, as some of our P.E.R.F.E.C.T.(TM) products and services move from the lab into production this fall."
"With P.E.R.F.E.C.T.(TM) (Personal Encrypted Remote Financial Electronic Card Transaction) technology, consumers can safely use the Internet to make purchases, pay bills, etc., using their ATM card in a same-as-cash transaction. Transactions will be secured by our patented SLICK(TM) device, installed at the consumer's PC. Part of our mission is to 'take the Internet from credit to cash.' eConnect has developed the proprietary hardware, software, and transaction processing host needed to implement P.E.R.F.E.C.T processing services."
Pursuant to this financing, eConnect issued $500,000 in Convertible Preferred Stock, which is convertible to shares of the company's Class A common stock at a rate to be determined by the price of the company's Class A Common Stock at the time of conversion.
eConnect is a publicly traded company, focused on eCommerce. eConnect owns and operates Internet sites and non-Internet kiosks, and markets P.E.R.F.E.C.T.(TM) products and services to enable other Internet and non-Internet merchants to accept ATM and Smart Card payments from consumers. eConnect is already generating revenue from web sites that it operates or licenses technology to, such as 777Wins and eSportsbet; and projects revenues to grow rapidly as new web sites are acquired, and as P.E.R.F.E.C.T.(TM) processing services are provided to other Internet merchants.
This press release contains forward looking statements subject to the safe harbor act created by the Securities Litigation Reform Act of 1995. Management cautions that these statements represent projections and estimates of future performance and involve certain risks and uncertainties. Actual results could differ materially from those anticipated in these forward-looking statements as a result of factors such as changes in the marketplace, unanticipated competitive activity, a downturn in economic conditions, or delays in product development.
CONTACT: Carnegie cook (for eConnect)
Anita Goldberg, 800/262-2331 (Investor Relations) |
