JACKSONVILLE, Fla.,
Jan. 31, 2011 /PRNewswire/ --
FNDS3000 Corp (OTC Bulletin Board: FDTC), an international prepaid
processing company currently introducing electronic payment
solutions to the South African market, today announced that it has
closed on a $500,000 private
placement, which represented the second scheduled tranche of the
$2.5 million, non-brokered equity
financing agreement entered into in October
2010.
This financing was again led by Sherington Holdings, LLC, a
private investment company, whose Chairman and CEO Raymond Goldsmith is also Chairman and CEO of
FNDS3000. When coupled with the related $1 million financing completed in October 2010, this financing brings the total
amount of capital received to date under the October commitment
agreement to $1.5 million. The
final two tranches of $500,000 each
are expected to be closed on or before April
1, 2011 and July 1, 2011.
Proceeds from the private placements are intended to be used
as working capital to support continued growth of FNDS3000's South
African prepaid card business.
Pursuant to the terms defined in the agreement, this
$500,000 financing provided for the
issuance of 3,246,754 shares of restricted common stock valued at
$0.154 per share. In addition,
for each common share purchased, the investor received a two-year
warrant to buy one share of common stock at an exercise price of
$0.308 per share.
About FNDS3000 Corp
Headquartered in the U.S. with operations in South Africa, FNDS3000 Corp is engaged in
executing a series of international growth initiatives designed to
position the Company as a major player in the world's fastest
growing payment card segment: prepaid cards. Given that 40%
of the adult population in South
Africa is currently unbanked or underbanked, FNDS3000's
initial focus has concentrated on offering tailored prepaid card
programs and services to business customers in this developing
prepaid market, including network branded and closed loop programs
that support employee payroll, insurance, medical aid, gift cards,
prepaid cellular charges and small-scale international transfer of
funds. The Company provides these programs and services through a
proven, proprietary U.S. processing platform that has been designed
for international and cross border capability. For more
information, please visit www.FNDS3000.com, or follow us on Twitter
@_FNDS3000.
Forward Looking Statements
Matters discussed in this press release contain forward
looking statements. Investors are cautioned that such forward
looking statements involve risk and uncertainties, which could
significantly impact the actual results, performance, or
achievements of the Company. Such risks and uncertainties
include, but are not limited to, the potential loss of our
relationships with each of the parties that sponsor our cards and
banks that manufacture, issue, and own the cards; the loss of our
service providers; security breaches of our electronic information;
the inability to raise sufficient capital to fund its operations;
and other risks as may be detailed from time to time in the
Company's periodic reports filed with the Securities and Exchange
Commission. The Company assumes no obligation to
publicly update or revise its forward looking statements even if
experience or future events make it clear that any of the
projected results expressed or implied herein will not be
realized.
SOURCE FNDS3000 Corp
