Attention Business Editors:
Kasten Chase announces $5 million special warrants offering
TORONTO, Feb. 11 /CNW/ - Kasten Chase (TSE-KCA) announced today that
it has entered into an agreement with Yorkton Securities Inc. relating to
an offering of $5 million in Special Warrants of Kasten Chase.
``We plan to use these funds to perpetuate and expand our drive into
the areas of Internet access and secure remote access,' commented Paul Hyde,
president and chief executive officer at Kasten Chase. ``We view this
additional funding as providing the leverage necessary to execute on our
business plan on a timely basis. This will include initial investments in
evolving our wireless technologies to align them with our core business
activities, while expanding our sales and marketing initiatives for our highly
secure VersaPath Internet access products and services. In addition, we plan
to actively position our data security product offerings for commercial market
acceptance with initiatives in the areas of secure wireless access and new
software based security products.'
The company will maintain its strong focus on sales of RASP Secure Access
to US government agencies and departments. This exclusive, National Security
Agency-sanctioned initiative continues to represent a significant near term
growth opportunity for the company.
Under the terms of the agreement, each Special Warrant will be priced at
$1.25 and will entitle the holder to acquire one common share and a warrant to
acquire one-half of one common share at an exercise price of $1.75 per common
share for an exercise period of 6 months from closing. The closing of this
offering is expected to be on or before February 24, 2000. This financing is
subject to regulatory approval.
About Kasten Chase
Kasten Chase is a proven technology incubator in the data communications
industry, developing mission critical enterprise solutions for companies
around the world. Kasten Chase invests in the identification, development
and marketing of advanced technology solutions in the areas of e-business,
wireless data communications and data security solutions. For further
information, visit the Company's website at kastenchase.com.
%SEDAR: 00002456E
-0- 02/11/2000
For further information: please contact: John Carlesso, Investor Relations, Street Coverage Inc., carlesso@streetcoverage.com, (416) 504-9994
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