Monday October 20 9:01 AM EDT
Company Press Release
Ponder Completes a $2.5 Million Financing Package
HOUSTON, Oct. 20 /PRNewswire/ -- Ponder Industries, Inc. (Nasdaq:PNDR) announced today that it has
completed a private placement of $2,500,000 Senior Convertible Notes and Warrants to purchase 4,000,000 shares
of common stock with White Owl Capital Partners. The notes are interest free until June 30, 1998, then bear
interest at prime rate plus 200 basis points and will mature on December 31, 1998. The notes are convertible into
4,000,000 shares of common stock. The proceeds will be used for working capital and the purchase of additional
service tools.
Eugene L. Butler, Chairman and CEO, said, ''This transaction follows the recently announced settlement of its
lawsuit with its former debenture holders and is a major step to Ponder's return to a solid financial condition and
will allow the Company's management and employees to focus on its growing operations.'' Mr. Butler also stated
that this transaction was placed with financially strong and very knowledgeable industry partners that will
continue to help Ponder return to its expansion program.
Ponder Industries, Inc. is an international oil field service and rental tool company that specializes in the use of
fishing tools for the recovery of unwanted obstructions in oil and gas wells. The Company also rents specialized
oil field equipment such as pressure control equipment, tools, pipe and tubing used in the drilling, completion and
workover of wells.
This News Release contains certain ''forward-looking'' statements as such term is defined in the Private Securities
Litigation Reform Act of 1995 and information relating to the Company and its subsidiaries that are based on the
beliefs of the Company's management as well as assumptions made by and information currently available to the
Company's management. When used in this report, the words ''anticipate,'' ''believe,'' ''estimate,'' ''expect'' and
''intend'' and words or phrases of similar import, as they relate to the Company or its subsidiaries or Company
management, are intended to identify forward- looking statements. Such statements reflect the current risks,
uncertainties and assumptions related to certain factors including, without limitations, competitive factors,
general economic conditions, customer relations, relationships with vendors, the interest rate environment,
governmental regulation and supervision, seasonality, distribution networks, product introductions and
acceptance, technological change, changes in industry practices, onetime events and other factors described
herein. Based upon changing conditions, should any one or more of these risks or uncertainties materialize, or
should any underlying assumptions prove incorrect, actual results may vary materially from those described
herein as anticipated, believed, estimated, expected or intended. The Company does not intend to update these
forward-looking statements.
SOURCE Ponder Industries, Inc.
More news for referenced ticker symbols: PNDR, and related industries: oil/energy. |
