Columbus, OH (PRWEB) January 9, 2008
Brighter Minds Media, LLC ("Brighter Minds" or the "Company"), wholly owned by its parent company Brighter Minds Media, Inc.(TSX: BRI.V), has announced that it has closed on an expanded financing package with Laurus Master Fund, Ltd. ("Laurus"), a New York based institutional equity fund that specializes in making direct investments in growing public companies.
The financing increases the Company's revolving credit facility from $2,250,000 to $3,500,000 while also extending the term of the financing to August 31, 2010. The revolving credit facility bears interest at prime plus 2% (subject to a floor of 10%) with a term of three years. Under the terms of the financing, Brighter Minds' parent will amend from CDN$0.35 to CDN$0.175 the exercise price of an existing warrant issued to Laurus for 2,120,000 common shares in the share capital of its parent.
"We are pleased to expand our relationship with a financial partner such as Laurus and are encouraged by the confidence in our business that this financing reflects. This will help us finance our aggressive online plan and our rapid revenue growth. Laurus' loan shows that the quality of account receivables and inventory is strong. We now have the foundation for continued growth through 2008," stated Sam Ifergan, Chairman and CEO of Brighter Minds.
The Company is also pleased to announce that its parent has entered into an agreement with Genoa Management Limited ("Genoa") which will provide investor relations and capital market services to the Company. As part of the agreement the Company's parent has granted a total of 300,000 stock options of its parent to Genoa. The options have an exercise price of CDN$0.10 and are exercisable for a term of five years from the date of grant.
This news release contains certain information and statements, including those that express management's expectations of future developments or future performance, which may not be based on historical fact and constitute "forward-looking statements" within the meaning of applicable securities laws. Such forward-looking statements include, but are not limited to, statements regarding the Company's strategies, future operations and expected growth and its ability to fund its operations in the future. By their nature forward-looking statements are subject to known and unknown risks, uncertainties, and other factors which may cause actual results or developments to be materially different from any future results, events or developments, expressed or implied, by such forward-looking statements. Numerous factors could cause actual results to differ materially from those in the forward-looking statements, including without limitation, the Company's ability to compete directly against North American and international companies in the market segments in which it operates; seasonal variations in the Company's revenues; its ability to expand its product lines; its ability to maintain strategic relationships with third-party licensees, licensors and distributors; its dependence on key customers and contracts; its ability to protect its intellectual property; and the time and costs of defending potential intellectual property claims. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. Investors are cautioned not to put undue reliance on forward-looking statements. The Company disclaims any intention or obligation to update or revise the forward-statements contained herein as a result of new information, future events or otherwise, which statements are expressly qualified by this notice.
Certain of the assumptions made by Brighter Minds in preparing forward-looking information and management's expectations include: maintenance of its existing stable of licenses and future retention of the right to license such properties, its ability to market its products successfully to anticipated customers, the impact of increasing competition, the retention of its key personnel, continued consumer demand for its products, its ability to operate in compliance with all applicable laws and regulations, its ability to obtain financing on acceptable terms and that there will be no significant changes in the regulation of its business.
About Brighter Minds Media, LLC:
Brighter Minds Media, LLC is a publisher of online and multimedia materials for the whole family with a focus on creating a wholesome online environment for children. Brighter Minds is also proud to offer a fun and educational line of retail products including software, DVD games and books, as well as a growing catalog of online games and content for the family. Brighter Minds' products are available online and at major retailers across the United States and Canada. Brighter Minds Media, Inc. is the parent company of Brighter Minds Media, LLC. Brighter Minds Media, Inc. is publicly traded on the TSX Venture Exchange (TSX: BRI.V) and is a Hargan Ventures (http://www.harganvc.com) investee company. More information about Brighter Minds can be found at http://www.brightermindsmedia.com.