Adatom.com Raises $4 Million of Private Financing.Business Editors MILPITAS, Calif.--(BUSINESS WIRE)--March 2, 2000 Adatom.com, Inc. (Nasdaq:ADTM ADTM Antenna Deployment and Trim Mechanism (aerospace engineering) ), an Internet superstore su·per·store n. A very large retail store that stocks highly diversified merchandise, such as groceries, toys, and camera equipment, or a wide variety of mechandise in a specific product line, such as computers or sporting goods. and e-commerce enabler, today announced that the Company has closed on a private placement of two million shares of common stock yielding gross proceeds of $4 million. The sale was made to several accredited investors Accredited Investor A term used by the Securities and Exchange Commission (SEC) under Regulation D to refer to investors who are financially sophisticated and have a reduced need for the protection provided by certain government filings. Also known as "qualified purchaser". . The Company agreed to use its best efforts to register the shares under the Securities Act of 1933 for resale within 60 days of the closing. The Company did not engage a placement agent. Adatom will use the $4 million in new capital for working capital including the payment of accrued liabilities Accrued liabilities are liabilities which have occurred, but have not been paid or logged under accounts payable during an accounting period; in other words, obligations for goods and services provided to a company for which invoices have not yet been received. of approximately $1.5 million and a sales and marketing campaign focusing on its business-to-business offering, Adatom's E-commerce Solution (ESP (1) (Enhanced Service Provider) An organization that adds value to basic telephone service by offering such features as call-forwarding, call-detailing and protocol conversion. ), as well as creating further consumer awareness of its Web site, www.adatom.com. Michael Pruwitt, President of Avenal Financial Group and one of the lead investors on this funding transaction, stated, "After spending considerable time with Adatom's management team and advising them on several key strategic initiatives, I recognized the significant short and long term growth potential of the Company. As such, it was an easy decision to personally invest in Adatom." Richard Barton
The Company also reported that Company CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. and President Richard Barton has agreed to accept 172,057 shares of unregistered common stock of Adatom.com valued at $500,000 in consideration of partial repayment of a $700,000 loan to the Company for working capital made over the past three months. About Adatom.com, Inc. Adatom.com, Inc. is a growing, e-commerce company, which offers over three million product SKUs (stock keeping units) for the home, individual and office and provides e-tailing solutions for other businesses. By leveraging its proprietary e-commerce infrastructure and efficient distribution system, the Company reaches both the business-to-business market with E-commerce Solution Program (ESP), and the business-to-consumer market with its Internet superstore, www.adatom.com. Adatom benefits from both its business-to-business and business-to-consumer capabilities to reduce operating costs operating costs npl → gastos mpl operacionales and provide price savings and increased customer service for consumers. Adatom.com provides a comprehensive product mix of name brand products in 29 product categories. Statements in this news release that are not descriptions of historical facts are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that are subject to risks and uncertainties. Words such as "expect", "intends", "believes", "plan", "anticipates", and "likely" also identify forward-looking statements. All forward looking statements are based on current facts and analyses. Actual results may differ materially from those currently anticipated due to a number of factors including, but not limited to, history of operating losses operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. , anticipated future losses, competition, future capital needs, the need for market acceptance, dependence upon third parties, disruption of vital infrastructure and intellectual property rights. All forward-looking statements are made pursuant to the Securities Litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. Reform Act of 1995. Additional information on factors that may affect the business and financial results of the Company can be found in filings of the Company with the Securities and Exchange Commission. The Company refers readers particularly to the Registration Statement on Form S-4 of HealthCore Medical Solutions, Inc. (File No. 333-87207) filed with the Securities and Exchange Commission on (September 16, 1999). The Company recently merged with HealthCore. |
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