Racom Systems Retains Investment Banking Support
biz.yahoo.com
Company seeks additional financing as part of re-launch strategy
DENVER--(BUSINESS WIRE)--Jan. 6, 1999--Racom Systems Inc. (NASDAQ: RCOM - news), announced today it has retained the financial advisory and investment banking services of Paul J. Jerde in collaboration with James M. Corboy, president and managing director of Century Capital Group Inc.
Racom is currently restructuring its business focus and will use outside support to assist it with the preparation of financial projections for Racom's business plan, securing additional financing, and providing consulting services with relation to strategic business partnerships.
''Jerde and Century Capital are expected to provide Racom with the financial expertise needed to execute our new business strategy and to secure additional financial resources,'' says Art Rancis, Racom's president and CEO. ''We believe this relationship will provide immediate value to the company as it moves into an exciting new chapter of its young history.''
Jerde and Century Capital come to Racom with extensive experience in assisting high technology firms with investment banking support. As the former CEO and Chairman of Requisite Technology Inc., Jerde guided the company through two rounds of venture capital financing of more than $10 million. He has managed or served in an advisory capacity to numerous financing and turn-around transactions, including venture capital, IPOs, secondary public offerings, and mergers and acquisitions. Some of the Boulder/Denver-based companies Jerde has worked with include Cortech Inc., Mountain Medical Equipment Inc., Telwatch Inc. and Clinicom Inc. Denver-based Century Capital's track record includes strategic financial consulting for companies like Policy Studies Inc., PRO Behavioral Health and Colorado Rehabilitation Alliance, LLC.
''We are pleased to serve the company at such an exciting time as it re-launches its products and services into the growing embedded systems marketplace,'' Jerde said. ''I look forward to working with Art Rancis, the board of directors and the company's business partners to strengthen Racom's financial outlook and capital needs.''
Having focused on the development and sales of contactless smart card products and services since its inception in 1991, Racom is now re-focusing its business to become a leading supplier of ''Smart RF'' technologies to the semiconductor marketplace. The company recently announced the basis of its new strategy in a news release issued December 15, 1998. The company plans to initiate a marketing and public relations program announcing the company's new products and services during the first quarter of 1999.
About Racom Systems Inc.
Racom Systems Inc., headquartered in Denver, Colorado, develops and markets RF-based technologies that automate transactions for electronic commerce, information technology, physical and logical access control and industrial automation. Racom's solutions provide secure, convenient and personalized access to money, information, property and services. For further information about Racom, its technology and products, contact Racom Systems at its Web address, racom.com, by telephone at (303) 771-2077, or by fax at (303) 771-4708.
This news release contains forward-looking statements. There can be no assurance that actual results will not differ from the Company's expectations. Factors that could cause materially different results include, among others, uncertainties related to the information of the Company's new products and services, the successful completion and integration of acquisitions, and possible negative economic or competitive conditions. Other factors could also cause actual results to vary materially from the future results covered in such forward-looking statements.
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Contact:
Racom Systems Inc., Denver
Marty Cohen, Investor Relations, 972/771-6783
or
Murrel Public Relations
Guy Murrel, 303/581-7760 |
