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To: Arcane Lore who wrote (297)12/21/1998 4:36:00 PM
From: afrayem onigwecher  Respond to of 435
 
1. Please provide one or more links (for example, to an Edgar filing providing the full agreement) to such prior deals in a case where the company was in a financial situation with similar risk to this one.

TCLN VRGN



To: Arcane Lore who wrote (297)12/21/1998 6:32:00 PM
From: afrayem onigwecher  Read Replies (1) | Respond to of 435
 
On September 22, 1998 the Company entered into an Equity Line Financing
Agreement ("Equity Line Agreement") for a maximum offering amount of $20 million
over three years. Provisions of the Equity Line Agreement provide that the
Company, at its option, may "Put" shares of Common Stock to the investor,
following an effective Registration Statement, at a "Put Share Price" equal to
the lesser of (a) 87.5% of the

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Market Price for such Put or (b) the difference of (i) the Market Price of such
Put minus (ii) $0.225 where the Market Price is defined as the lowest Closing
Bid Price during the 10 to 20 trading days (depending upon the size of the Put)
following each Put.

The amount of Common Stock that may be Put in any 30 day period, is limited
to one half (1/2) of the aggregate daily reported trading volume in the
outstanding Common Stock reported during the 10 trading days preceding the Put
date. In addition, on each six month anniversary of the Subscription Agreement
date, the Company shall issue to the Subscriber a Purchase Warrant to purchase a
number of shares of Common Stock equal to 10% of the number of Put Shares issued
to the Subscriber during the preceding 6 calendar months. Each Purchase Warrant
shall be exercisable at 108% of the lowest closing bid price for the 10 trading
days immediately preceding each six month anniversary.

research.web.aol.com



To: Arcane Lore who wrote (297)12/22/1998 6:59:00 AM
From: afrayem onigwecher  Read Replies (1) | Respond to of 435
 
1. Please provide one or more links (for example, to an Edgar filing providing the full agreement) to such prior deals in a case where the company was in a financial situation with similar risk to this one.

During June 1998, the Company secured access to $20,000,000 under a
Common Stock Equity Line (Equity Line) with two institutional investors. The
Equity Line expires in June 2001. Under the terms of the Equity Line, the
Company may, in its sole discretion, and subject to certain restrictions,
periodically sell ("Put") shares of the Company's common stock for up to
$20,000,000 upon the effective registration of the Put shares. After effective
registration for the Put shares, unless an increase is otherwise agreed to,
$2,250,000 of Puts can be made every quarter, subject to share issuance volume
limitations identical to those set forth in Rule 144(e).

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research.web.aol.com


At the time of each Put, the investors will be issued a warrant,
expiring on December 31, 2004, to purchase up to 10% of the amount of common
stock issued to the investor at the same price at the time of the Put.