ADRN news out-
(COMTEX) B: Adrenalin Interactive Announces Completion of $2 Million
B: Adrenalin Interactive Announces Completion of $2 Million Financing for
Merger With McGlen Micro
LOS ANGELES, Jul 14, 1999 (BUSINESS WIRE via COMTEX) --
AdrenalinInteractive Inc. (NASDAQ:ADRN) today announced it has
completed its $2,000,000 financing.
The proceeds of the financing will be used to fund expenses arising
from the previously announced McGlen merger, including legal and
accounting fees, other merger related expenses, working capital, and
immediate operational obligations of the company.
Of the $2,000,000, Adrenalin has received gross proceeds of $1,250,000
from the sale of 293,255 shares of its Common Stock ($4.2625 per share,
which represented a 10% premium over the market price of the shares of
last Friday's close, July 9, 1999). The remaining $750,000 will be
placed in escrow prior to the merger with McGlen and will be funded at
the completion of the merger. The company Common Stock to be sold for
the $750,000 will be priced at 10% over the market price at the close
of the merger.
Please refer to the Form 8-K filed by the company today with the
Securities and Exchange Commission for additional terms of the
financing, including, redemption rights, repricing rights, registration
rights, above market warrants, restrictions on certain future issuances
by the company and resale restrictions.
The offer and sale of the securities referred to herein have not been
registered under the Securities Act of 1933, as amended (the
"Securities Act") or qualified under any state or non-U.S. securities
laws, such securities are being offered and sold in reliance on the
exemptions afforded by Regulation D promulgated under the Securities
Act. The securities may not be transferred or resold without
registration and qualification under the Securities Act and applicable
state and non-U.S. securities laws, unless an exemption from
registration and qualification under the Securities Act and suchlaws is
then available.
The ability of the company to consummate the proposed merger with
McGlen Micro, Inc. is subject to the satisfaction of various
conditions, including regulatory and shareholder approval, as disclosed
in previous filings by the company with the Securities and Exchange
Commission. Accordingly, the company can give no assurance that such
merger will be consummated. If such merger is not consummated, or
certain other closing conditions are not met, the investor will not be
obligated to fund the $750,000 referenced above.
Copyright (C) 1999 Business Wire. All rights reserved.
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CONTACT: Adrenalin Interactive Inc., Los Angeles
Jay Smith, CEO
310/821-7880, 310/821-4251 (fax)
e-mail: jsmith@adrenalin.com
adrenalin.com
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