Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : NewKidCo International (OTC:NKCIF) (TSE:NKC) -- Ignore unavailable to you. Want to Upgrade?

To: SemiBull who wrote (4205)	4/4/2002 8:00:51 PM
From: SemiBull	Read Replies (1) \| Respond to of 4231

NewKidCo International Inc. Announces Completion of Capital Restructuring Plan Prepared for Aggressive Growth Strategy in 2002 NEW YORK--(BUSINESS WIRE)--April 4, 2002--NewKidCo International Inc. (OTCBB:NKCIF - news; TSE:NKC - news) announced today the completion of a capital restructuring plan that will provide the Company with the strength and the resources to execute its high growth strategy for 2002. The key components include: New capital and conversion of outstanding debt, by way of private placement, of US $6 million. Cancellation of over 9 million outstanding warrants. Acceleration of the term on the remaining 5 million warrants, to cause their exercise or elimination during the second quarter of 2002. Conversion to equity, of US $624 thousand in convertible debentures (at US $0.624/share). Spinner Global Technology Fund, Ltd. was the lead investor in the private placement investing US $5.0 million to have a 24% interest in the company on a fully diluted basis. ``We are pleased with this financing,'' said Henry Kaplan, Chief Executive Officer of NewKidCo. ``It will help our company accomplish its business plan objectives and capitalize on the extraordinary video game software industry growth that will occur over the next several years.'' Prior to this transaction, the Company had 32,468,961 shares issued and outstanding, plus outstanding warrants and convertible securities for a total of 46,669,153 fully diluted shares. Post the transaction, the Company will have 56,984,458 fully diluted shares, assuming all the aforementioned warrants are exercised. In the process, NewKidCo will have raised US $8.1 million, eliminated a further US $624 thousand of debt, and erased the possibility of future warrant dilution. NewKidCo International Inc. (TSE:NKC - news; OTCBB:NKCIF - news), headquartered in New York, New York, publishes children's video games based on popular licensed characters, for interactive entertainment game systems from Sony Computer Entertainment, Nintendo and Microsoft. NewKidCo publishes and distributes their products directly in North America and in Europe through distribution partner, Ubi Soft Entertainment SA. For more information, please visit www.newkidco.com. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements involve risk and uncertainties, including, without limitation, risks of intellectual property rights and litigation, risks in technology development and commercialization, risks in product development and market acceptance of and demand for the Company's products, risks of downturns in economic conditions generally, risks associated with competition and competitive pricing pressures, risks associated with foreign sales, risks associates with the sell-through of products in the sales channels, risks associated with customer concentration and other risks detailed in the Company's filings with the Securities and Exchange Commission. -------------------------------------------------------------------------------- Contact: NewKidCo International Inc., New York Henry Kaplan, 212/581-1555, ext. 224 (Investor Relations) Arthur Levine, 212/581-1555, ext. 235 212/265-1620 (fax) investor@newkidco.com or Bender/Helper Impact Brenda Ciccone, 310/477-4647, ext. 264 (Public Relations) 310/478-7914 (fax) brenda_ciccone@bhimpact.com