PureDepth Completes Bridge Financing Round Business Wire "US Press Releases "

PureDepth Completes Bridge Financing RoundBusiness Wire "US Press Releases "
REDWOOD SHORES, Calif.--(BUSINESS WIRE)--
PureDepth(TM), Inc. (OTC: PDEP), a global leader in next-generation display technologies and the pioneer of Multi-Layer Display (MLD(TM)) technology, announced it has entered into a bridge financing arrangement with K One W One ("K1W1") to fund operations with up to $3,000,000. Under the agreement, at the closing on February 4, 2008, K1W1 purchased an initial promissory note of $1,000,000; upon achievement of certain milestones, K1W1 will be required to purchase an additional $2,000,000 note. If such milestones are not achieved, K1W1 may elect to purchase additional notes for up to $2,000,000. The notes are convertible into investment instruments in the event of a qualified financing, at a five percent (5%) discount, or if there is no qualified financing, K1W1 may convert the notes into common stock on the twelve month maturity date. Other terms include an eight percent (8%) interest rate, a security interest in the Company's assets, and the right to participate in qualified financing for a period of three years at a discount of five percent (5%). The terms are summarized in a Form 8-K filed by the Company and available on the SEC website.
The company also announced that it is implementing cost reduction plans aimed at reducing operating expenses. These plans will include a workforce reduction of employees in New Zealand and California as well as various other cost reduction actions. The Company's primary focus in the short-term will be the rollout of MLD products to the market with its existing licensing partners, and thereby validating the commercial viability of the MLD technology and generating revenues for the Company's future growth.
In addition, last week, in combination with such actions, the Company announced that the Board and Thomas L. Marcus mutually agreed that Mr. Marcus would step down as Chief Executive Officer, effective January 24, 2008, but will continue to serve as Chairman of the Board.
The Board expanded the role of Jonathan J. McCaman to President of the Company. Mr. McCaman has served as Chief Financial Officer since January 2007. Prior to joining PureDepth, he served as vice president of finance, Americas for four years at Exel, a leader in supply chain management with $10 billion in annual revenues. Prior to Exel, he held senior executive positions in finance and planning at DHL Worldwide Express and was CFO of its telecommunications subsidiary.
"I am looking forward to leading our talented organization, and excited to pursue the many opportunities before us. We thank Tom for his contribution to PureDepth in 2007 and look forward to his continued involvement in our Board of Directors," said Mr. McCaman. "In 2008, we remain focused on leveraging existing licensing partnerships with Samsung, Sanyo and IGT, and supporting their development of products using MLD technology. These partnerships are managed by dedicated sales, marketing and engineering executives at PureDepth. Their commitment and this financing put us in a stronger position to work with our partners to accelerate the commercialization of MLD technology while continuing to aggressively protect our technology and intellectual capital." Mr. Marcus added, "I'm pleased that Jon will expand his leadership role within the Company and will continue the progress that was made during the last six months of 2007."
About PureDepth
PureDepth (www.puredepth.com) is an innovative technology company transforming the visual display experience by delivering award-winning MLD technology. Backed by 50 approved patents and over 80 pending patents, this breakthrough in visualization is the first display technology that provides Actual Depth(TM). The Company has a worldwide licensing agreement with Samsung Electronics Corporation (KSE:005930) (LSE: SMSN), a sales, marketing and distribution license agreement with Sanyo Corporation (NASDAQ: SANYY) in Japan, a worldwide licensing agreement with International Game Technology (NYSE: IGT) and business opportunities in broad consumer markets. Founded in 1999, the Company is headquartered in Redwood Shores, California, with a research and development center located in New Zealand and offices in Japan.
Forward-Looking Statements
This press release contains certain statements that are "forward-looking statements" and includes, among other things, discussions and disclosures of the Company's expectations for the use of its technology and market for its products, and the likelihood of any resulting products to become widely accepted by the marketplace. Words such as, but not limited to, "may," "likely," "anticipate," "expect" and "believes" indicate forward-looking statements. Although PureDepth believes that the expectations reflected in these forward-looking statements are generally reasonable, it can give no assurance that such expectations will ultimately prove to be correct or materialize. All phases of PureDepth's business and operations are subject to a number of uncertainties, risks and other influences, most of which are outside its control, and any one or combination of which could materially and adversely affect the results of the Company's operations, and whether any forward-looking statements contained herein ultimately prove to be accurate. Information regarding such risks and uncertainties can be found in the Company's most recently filed annual report on form 10-KSB, interim report on form 10-QSB and other filings that have been made with the SEC.
PureDepth(TM), MLD(TM) and Actual Depth(TM) are trademarks of PureDepth, Inc. All other trademarks and registered trademarks are the property of their respective owners, without intent to infringe.
Source: PureDepth, Inc.