By the way Gary, all kidding aside, here's the information you requested as to why a private placement. In the future you can save yourself a lot of trouble and public humiliation by just going to the website at refr-spd.com
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RESEARCH FRONTIERS COMPLETES $5 MILLION PRIVATE PLACEMENT
WOODBURY, N.Y., October 31,1997-Research Frontiers Incorporated announced today that a group of institutional investors have invested $5,000,000 in equity capital through the purchase of a prepaid common stock warrant. The warrant, which is redeemable by the Company under certain circumstances, is exercisable over its five-year term at an exercise price which fluctuates with market conditions.
The equity funding substantially buttresses Research Frontiers' already strong balance sheet, and will generate additional investment income for the Company. As of the end of October, 1997, the Company had more than $10.2 million in cash and marketable securities, and no debt.
"The excellent response to this offering validates our Company's strategy of commercializing its suspended particle device (SPD) technology through a growing list of blue-chip licensees, and recognizes the enormous market potential of products for the control of light." said Robert L. Saxe, President of Research Frontiers.
"We have enjoyed working closely over the past several months with the principals and advisors to this strategic investor group who have recently concluded a due diligence review of the Company and analysis of the markets for SPD products. We are pleased with their long-term commitment to Research Frontiers and our proprietary light-control technology, and believe that the caliber of these investors will raise our corporate profile among institutional investors." noted Saxe.
The investors were advised by Ramius Capital Group LLC, a New York-based investment management and merchant banking firm that provides capital to public and private companies. DJ Ltd. acted as investment advisor and placement agent to Research Frontiers in connection with this transaction. |
