If Intercell owns 74% of Nanopierce, and everyone thinks Nanopierce is going to $10-15, then isn't INCE a buy at 8c???
DENVER, CO - Intercell Corporation (OTC:BB:INCE) a technology holding Company, today announced that its subsidiary Nanopierce Technologies, Inc. closed a $8.5-million (U.S.) financing.
Paul H. Metzinger, President & Chief Executive Officer of Intercell stated, "The closing of this financing for Nanopierce significantly enhances the value of the stock of Intercell." He further stated, "I am confident that with this financing and under the executive leadership of Gilbert Olachea, Nanopierce Technologies, Inc. will finally be able to commercially exploit its world-class technology."
Intercell owns approximately 74 per cent of Nanopierce Technologies, Inc. on a fully diluted basis prior to the financing.
The common stock of Intercell Corporation trades under the symbol INCE and is currently quoted at approximately eight cents bid and 10 cents ask.
Denver-based Intercell Corporation, through its subsidiary, Nanopierce Technologies, Inc., currently is engaged in the design and development of patented diamond particle-coated substrates for integrated circuit packaging and interconnection.
FOR MORE INFORMATION CONTACT:
mailto:kknightmcc@aol.com
NANOPIERCE TECHNOLOGIES, INC.
CLOSES $8.5-MILLION (U.S.) FINANCING
DENVER, CO - Nanopierce Technologies, Inc. (OTC:BB:NPCT) today announced that it had completed an $8.5-million (U.S.) financing, through its financial consulting firm, The Global Funding Group, L.L.C., Raleigh, North Carolina.
Gilbert Olachea, President and Chief Executive Officer of Nanopierce, stated, "This investment is a significant milestone in the success of Nanopierce. It also is a clear commitment by the financial market of the confidence they have in Nanopierce's ability to secure the emerging market for its technology. While executing to a precise strategy and tactics in bringing profitable markets into our fold, we will simultaneously focus on investor equity and shareholder value."
The $8.5-million (U.S.) financing is a staged, two year credit facility. At its discretion, when and as required, Nanopierce has the right to require the purchaser to purchase up to 150,000 series B preferred shares for a total of $1,500,000 and up to 700,000 series C preferred shares for $7,000,000. Both series of preferred shares are convertible into the common stock of Nanopierce Technologies, Inc. The conversion price of the series B preferred shares is the lesser of 110 per cent of the average of the closing bid price for the common stock of Nanopierce on the date of closing or 80 per cent of the average of the closing bid price for the five days preceding the date of conversion.
The series C preferred shares are purchasable at a 17.5 per cent discount from the average of the closing bid pices for the five days preceding the date of conversion. This structure minimizes the dilutive effect of the financing on the company.
The preferred series are non-voting. The shares have a deemed value of $10 per share. In addition, Nanopierce issued to the purchaser of the preferred series B and C shares three-year warrants exercisable at 125 per cent of the closing bid price on the date of closing into common shares of Nanopierce. In conjunction with the financing, the company has agreed to provide certain registration right with respect to the securities offered.
Nanopierce owns ten patents, seven patent applications pending, two patent applications in preparation and other intellectual properties, relating to the Nanopierce Technology Material (NTM). This revolutionary material is designed to provide an electrically and mechanically reliable interconnection method for high-density circuit board components without the use of metal pins and solder techniques. Of the 12,342,350 shares outstanding, Intercell Corporation, affiliates and others own approximately 11,747,111 restricted shares.
As inducement to obtain the financing Paul H. Metzinger, Executive Vice-President, of Nanopierce and his wife agreed to escrow a significant amount of their ownership in Nanopierce.
Nanopierce will file an 8K report with the Securities and Exchange Commission relating to this financing on August 7, 1998. Interested parties are invited to access such filing by the Electronic EDGAR Filing System of the Securities and Exchange Commission.
NEWS RELEASE
JULY 24, 1998
INTERCELL CORPORATION ANNOUNCES
CLOSING OF $8.5-MILLION (U.S.) FINANCING
FOR NANOPIERCE TECHNOLOGIES, INC.
DENVER, CO - Intercell Corporation (OTC:BB:INCE) a technology holding Company, today announced that its subsidiary Nanopierce Technologies, Inc. closed a $8.5-million (U.S.) financing.
Paul H. Metzinger, President & Chief Executive Officer of Intercell stated, "The closing of this financing for Nanopierce significantly enhances the value of the stock of Intercell." He further stated, "I am confident that with this financing and under the executive leadership of Gilbert Olachea, Nanopierce Technologies, Inc. will finally be able to commercially exploit its world-class technology."
Intercell owns approximately 74 per cent of Nanopierce Technologies, Inc. on a fully diluted basis prior to the financing.
The common stock of Intercell Corporation trades under the symbol INCE and is currently quoted at approximately eight cents bid and 10 cents ask.
Denver-based Intercell Corporation, through its subsidiary, Nanopierce Technologies, Inc., currently is engaged in the design and development of patented diamond particle-coated substrates for integrated circuit packaging and interconnection.
FOR MORE INFORMATION CONTACT:
mailto:kknightmcc@aol.com
Mr Metals
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