Catuity Completes $4 Million -US- Private Placement.Business Editors DETROIT--(BUSINESS WIRE)--July 22, 2003 Catuity, Inc. (Nasdaq:CTTY CTTY Control Teletype CTTY Console Teletype ) (ASX ASX See: Australian Stock Exchange :CAT), a leading loyalty software solutions company that provides both technical and marketing expertise to credit, debit, smart card and gift card issuers, merchants, and processors, announced today that it has completed a private placement of 3 million common shares to raise approximately $4.0 million (US) with a number of institutional and accredited investors who are clients of Linwar Securities. Terms of the equity placement called for the purchase of each share of Catuity common stock at $2 AUD AUD In currencies, this is the abbreviation for the Australian Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. ($1.30 US). Following the placement, the issued capital of Catuity will be 11,644,612 common shares. Proceeds from the placement will be used for general operating purposes as well as to fund the expected growth of Catuity's business in the coming months. Australian-based Linwar Securities served as the placement agent on the transaction. Michael V. Howe, President and Chief Executive Officer of Catuity, made the announcement, noting: "We believe that this infusion of capital helps Catuity continue to grow its business in the real-time loyalty software niche. We are beginning to see renewed interest in this area after a very tough period for technology and software companies." The Company will seek shareholder approval of the placement at a special meeting of shareholders to be held on September 16, 2003 in Sydney, Australia. Proxy materials Proxy Materials Documents regulated by the Securities & Exchange Commission in which a public company outlines its methods and procedures. These documents are used to inform shareholders and solicit votes for corporate decisions, such as the election of directors and other providing complete information about the placement will be sent to shareholders in advance of the special meeting. Catuity, Inc. is a leading provider of application software that allows merchants, transaction processors and payment card issuers to establish and administer customer incentive and loyalty programs integrated to the payment system at the point-of-sale. The Catuity system can be utilized via mag stripe, smart card, RFID (Radio Frequency IDentification) A data collection technology that uses electronic tags for storing data. The tag, also known as an "electronic label," "transponder" or "code plate," is made up of an RFID chip attached to an antenna. or contactless tokens and to date Catuity's software applet has been included on millions of chip-based credit cards. Catuity Loyalty Software can be used by a broad range of sellers of goods and services In economics, economic output is divided into physical goods and intangible services. Consumption of goods and services is assumed to produce utility (unless the "good" is a "bad"). It is often used when referring to a Goods and Services Tax. , particularly those who sell both through store locations and over the Internet. In addition to its innovative software products, Catuity also provides marketing expertise and service to its clients so that with Catuity's loyalty solution, merchants can offer their customers valuable benefits, thereby attracting and retaining customers as well as encouraging increased purchases. More information on Catuity is available at its Web site: http://www.catuity.com. In conjunction with the provisions of the "Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " section of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995, this release may contain forward-looking statements pertaining to future anticipates projected plans, performance and developments, as well as other statements relating to future operations. All such forward-looking statements are necessarily only estimates of future results and there can be no assurance that actual results will not materially differ from expectations. Further information on potential factors that could affect Catuity, Inc. is included in the Company's Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. , which is filed with the U.S. Securities & Exchange Commission. |
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