Brad; I had not seen this release, and I don't much care for its contents, no wonder they did not use their regular newsservices to get this out. I suppose the good news is they once again have some money in the bank. Bad news is that there is a lot more shares out. The JV is a little vague. We may see some promo, if Global bought these shares for their inventory. I don't know much about them. Are they a pump and dump shop? Warrants at 0.16 Ugh. I guess money is hard to come by for these small techstocks. At least this should buy them another year or two if you include the warrants.
Image Power Inc.
Thursday, April 02, 1998
Enters into Agreement With US Embedded Systems Company and Announces
Financing
Image Power, Inc. (VSE: IPZ), announced today that it has signed a Memorandum of Understanding
with a US-based embedded systems company to jointly develop a reference design for print controllers
for the printer and digital photocopier market.
The embedded systems company was established in 1994 to develop print controllers and I/O
connection solutions for the digital imaging market. The firm has worked with original equipment
manufacturers (OEMs), such as Xerox and Lucent Technologies, to develop application specific
solutions.
The print controller design resulting from this joint development effort will be marketed to manufacturers
of monochrome and color digital copier and multi-function peripheral (MFPs) devices. Both the digital
copier and MFP markets have experienced rapid growth during the last two years as new technology
precipitates lower prices and increased functionality.
Image Power also wishes to announce that it has arranged a brokered private placement through Global
Securities Corporation. The private placement is for 4,800,000 special warrants offered at $0.16. Each
special warrant is convertible at no extra cost into units, each unit consisting of one share plus one
non-transferrable share purchase warrant. Each warrant will entitle the holder to purchase one additional
share at a price of $0.16 for one year from the date of closing and at $0.18 during the second year. The
gross proceeds of the offering will be $768,000. Eighty percent of the funds will be released to Image
Power on a date agreed upon by the agent and the Company, and the remaining twenty percent will be
advanced upon the issuance of receipts for a final prospectus qualifying the securities underlying the
Special Warrants. Image Power will pay the agents a commission of 9% plus an agent's fee of 1% on
the proceeds and will issue agent's warrants entitling the agents to purchase up to 750,000 shares on
securities placed by the agent. Each agent's warrant carries the same terms as the purchase warrants
forming part of the unit offering.
The Company is also announcing the issuance and repricing of certain director and employee stock
options. The 540,000 announced and approved outstanding options will be repriced at $0.20 from $0.28.
The Company is cancelling the 675,000 options announced in the press release dated December 22,
1997, and will issue 1,265,000 options at $0.20. This transaction is subject to the approval of the
Vancouver Stock Exchange.
Image Power, Inc. is a leading provider of powerful next generation standards-compliant still image
compression technology and products. For additional information, visit the Company's web site at
www.imagepower.com or contact John Geisler at jgeisler@imagepower.com or Astrid Levelt at
alevelt@imagepower.com.
On behalf of the Board
IMAGE POWER, INC
Stephen Swift, President |
