Website: www.bsmtechnologies.com
Symbol: GPS (TSX-V)
MISSISSAUGA, ON, Jan. 26 /CNW/ - BSM Technologies Inc., (GPS: tsx-v)
(http://www.bsmtechnologies.com) a leading provider of high security vehicle
tracking and surveillance solutions today announced that it has closed its
non-brokered private placement financing previously announced on December 21,
2005. The Company has issued 8,246,664 units priced at $0.15 per unit, for
gross proceed of $1,237,000, with each unit comprised of one common share and
one warrant to purchase a further common share at $0.20 until January 23,
2008. The securities issued are legended and restricted from trading until
May 24, 2006. A $92,249.97 cash commission was paid as a finder's fee for the
financing. As a result of this financing, the current issued and outstanding
capital of the Company is 42,199,042 common shares.
Onbelay Partners Limited, the lead investor in this private placement,
subscribed for 3,333,333 units in this private placement. In addition, BSM has
appointed Aly Rahemtulla, President of Onbelay Partners Limited, a director of
BSM under the terms of the financing. In addition, John Bell, Chairman of
Onbelay Partners Limited, will be nominated as a director of BSM at the Annual
and Special Meeting of shareholders of BSM to be held on February 24, 2006.
As a result of the transaction, Onbelay Partners Limited currently holds
3,333,333 common shares and 3,333,333 warrants and has the ability to acquire
14.64% of the capital of the Company on a diluted basis. Onbelay Partners
Limited has informed the Company that except as disclosed herein, it has
acquired the common shares for investment purposes and that it may decrease or
increase its beneficial ownership, control, or direction over common shares of
the Company through market transactions, private agreements, exercise of
options, other treasury issuances or otherwise.
"We are excited at the prospect of helping BSM execute on its business
plan. The Company has fantastic technology, a talented and committed
management team, and a very full sales pipeline. Onbelay Partners Limited,
along with hedge fund K2 & Associates and investment firm Marquest, bring BSM
financial capital, experience in managing rapid sales growth, and wide
reaching contacts in the wireless space and capital markets. Our investment
syndicate will work closely with BSM's management team to deliver sustained
shareholder value." John Bell, Chairman of Onbelay Partners Limited.
Nick Cirella, President and Chief Executive Officer of BSM commented: "We
are very pleased to provide shareholders with yet another milestone
achievement for BSM. This financing serves as a strong vote of confidence in
our products and team and we look forward to rewarding that confidence by
continuing the sales success achieved in January thus far."
The proceeds of this closing will be used for marketing and working
capital.
This press release is available on the company's official on-line
investor relations site for investor commentary, feedback and questions.
Investors are asked to visit http://www.agoracom.com/ir/bsm. Alternatively,
investors are asked to e-mail all questions and correspondence to
GPS(at)agoracom.com where they can also request addition to the BSM
Technologies investor e-mail list to receive all future press releases and
updates directly.
Onbelay Partners Limited (OPL) is a unique partnership, bringing together
investment capital and a team with diversified expertise in technology,
corporate finance, growth management, operations management, and business
development. In addition to capital, OPL provides management resources,
consulting, governance and assistance to establish an appropriate strategic
direction. Mr. John Bell, Chairman of OPL, is a Cambridge, Ontario based
entrepreneur and is currently the President of Polymer Technologies Inc. Under
his management, Polymer has achieved a sales growth of 478%. In 2002, 2003 and
2004, Polymer was recognized as one of Canada's 50 Best Managed Companies. In
addition, Mr. Bell also serves on several other boards of private and crown
corporations.
About BSM Technologies (GPS:tsxv) (http://www.bsmtechnologies.com)
BSM Technologies and its subsidiaries HGI Wireless and BSM Wireless
design, manufacture and market a comprehensive line of high security vehicle
tracking and surveillance solutions for: Law Enforcement Bait and Covert, High
Security and Executive Protection, Fleet Management and Consumer Safety. BSM
products are designed with the enhanced reliability, functionality, and
security today's GPS technology allows. By also incorporating advanced mapping
and wireless technologies, the BSM line of products provides sophisticated
real-time monitoring and control of vehicle assets.
The BSM line of products range from our Fleet and Trailer management
Edition, to our full featured "Stinger" featured in news media worldwide as
the key technology behind the "Bait & Covert" application used by Law
Enforcement to deter auto, Trailer and heavy equipment theft. That same
quality and attention to detail is dedicated to the manufacture of all our
products. Recognized as an industry leader in Covert Telematics, BSM provides
solutions for any asset-tracking requirement. Our product line can be adapted
to your requirements, and our support infrastructure assures you receive the
premium GPS solution in the industry.
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This press release is available on the company's official on-line
investor relations site for investor commentary, feedback and questions.
Investors are asked to visit http://www.agoracom.com/IR/BSM
and view the "BSM Technologies" IR HUB.
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The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. No stock
exchange, securities commission or other regulatory authority has approved or
disapproved the information contained herein. This News Release may include
certain "forward-looking statements" that involve risks and uncertainties.
Actual results may differ materially from results indicated in any
forward-looking statements. The company cautions that, among other things, in
view of the rapid changes in communications markets and technologies, and
other risks including the cost and market acceptance of the company's new
products, the level of individual customer procurements and competitive
product offerings and pricing, and general economic circumstances, the
company's business prospects may be materially different from forward-looking
statements made by the company.
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