this should ensure that imci can fund their various photonic, optical and semi projects...they currently have only 3.35m outstanding:
(COMTEX) B: Infinite Group Receives $25 Million Equity Line Commitmen
B: Infinite Group Receives $25 Million Equity Line Commitment Arranged by Jesup
& Lamont
WARWICK, R.I., Nov 21, 2000 (BUSINESS WIRE) -- Infinite Group, Inc. (Nasdaq:
IMCI) today announced that it has entered into a three-year private equity line
agreement with Cockfield Holdings, Ltd (CHL), a private investment fund,
pursuant to which CHF is obligated to purchase, subject to the fulfillment of
specified conditions, up to 3.3 Million shares of Infinite common stock over the
next 3 years. CHL has allocated up to $25.0 million to fund its purchase
obligations. The transaction was arranged by Jesup & Lamont Securities
Corporation, a New York-based investment banking firm.
Infinite's right to draw upon this facility is subject to a number of
limitations and conditions, including a limitation on the amounts sold to CHL
within specified periods, and the effectiveness of a resale registration
statement covering the securities to be purchased. Subject to these and other
conditions and limitations, Infinite will have full control over the facility
and is under no obligation to sell any shares to CHL. Any shares that are sold
will be priced at 87.5% of the volume weighted average market price of Infinite
common stock during a fixed period prior to the sale, and will not be below a
floor price that Infinite may establish in its discretion.
Infinite Chief Financial Officer Bruce J. Garreau commented: "The availability
of this equity line will allow us to pursue research, development and
commercialization efforts in applied photonics with financing in place. This
kind of financing option is very attractive to us since it gives us complete
flexibility over timing and a substantial degree of control over pricing."
Infinite Group is an industry leader in the areas of laser material processing,
advanced manufacturing methods and laser applications technology.
This release contains "forward looking statements" based on current expectations
but involving known and unknown risks and uncertainties. Actual results or
achievements may be materially different from those expressed or implied. The
Company's plans and objectives are based on assumptions involving judgements
with respect to future economic, competitive and market conditions, and future
business decisions, all of which are difficult or impossible to predict
accurately and many of which are beyond the control of the Company. Therefore,
there can be no assurance that the forward-looking statements, including, but
not limited to, those relating to the availability of capital pursuant to this
facility, will prove to be accurate.
CONTACT: Clifford G. Brockmyre II
CEO & President
Infinite Group Inc.
401-738-5777
or
Mr. Bruce J. Garreau
Chief Financial Officer
Infinite Group Inc.
401-738-5777
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