Communication Intelligence Corporation Completes a Private Placement of Preferred Stock for $6,000,000.REDWOOD SHORES, Calif--(BUSINESS WIRE)--Dec. 2, 1997-- (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :CICI CICI Cochlear Implant Club International ) Communication Intelligence Corporation (CIC CIC circulating immune complexes. CIC Circulating immune complexes. See Immune complexes. ) announced today that it has consummated a private placement of 240,000 shares of Series B, 5% Cumulative Convertible Preferred Stock Convertible Preferred Stock Preferred stock that includes an option for the holder to convert the preferred shares into a fixed number of common shares, usually anytime after a predetermined date. Also known as "convertible preferred shares". at a purchase price of $25 per share for $6,000,000 in gross cash proceeds. Each share of Series B preferred stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. is convertible by the holder into shares of common stock at any time at a conversion price equal to the lower of $1.59 per share or the average of the daily closing prices of the common stock for the three consecutive trading days immediately preceding the date of conversion. In addition, all outstanding shares of Series B preferred stock must be converted by the holders into shares of the Company's common stock prior to November 25, 2000 or at the Company's option later. Under the terms of the Series B preferred stock, the holders are entitled to receive cumulative dividends at the rate of $1.25 per share per annum Per annum Yearly. , compounded quarterly, when payable (whether or not declared), payable quarterly. Such dividends may be paid, at the option of the Company, in cash or additional shares of preferred stock. The Series B preferred stock is pari passu [Latin, By an equal progress; equably; ratably; without preference.] Used especially to describe creditors who, in marshalling assets, are entitled to receive out of the same fund without any precedence over each other. PARI PASSU. By the same gradation. to the Company's Series A preferred stock in terms of dividends and liquidation rights Liquidation rights The rights of a firm's securityholders in the event the firm liquidates. . Holders of the Series B preferred stock have the right to vote with the holders of the common stock, as one class, for the election of directors and such other matters to be voted on at stockholder's meetings. Each share of preferred stock has one vote on such matters. In connection with the private placement, the Company agreed to file a registration statement with the Securities and Exchange Commission no later than January 9, 1998 in order to register the sale of the shares of common stock issuable upon conversion of the preferred stock. About CIC Communication Intelligence Corporation develops, markets, and licenses natural input computer technology - products that use pen and image for input. Founded in 1981, CIC is a leading supplier of pen computing software products to hardware manufacturers throughout the world. The company's products include Handwriter(R) Recognition System and Jot(TM), user independent handwriting recognition systems, and the InkShrInk(R) electronic ink data compression software. CIC also developed the SigCheck(TM) dynamic signature verification software which facilitates reliable user authentication. CIC also markets the Handwriter(R) line of peripheral input devices which enable users to have pen computing capabilities on their desktop and laptop personal computers. CIC is headquartered in Redwood Shores, California Redwood Shores is an upscale and desirable [1] waterfront neighborhood on the San Francisco Peninsula in California. It is located on the eastern edge of Belmont, but is actually part of incorporated Redwood City. , and has subsidiaries in Japan and China. CIC's stock is publicly traded on Nasdaq, symbol CICI. More information about CIC and its products can be obtained on the Internet: http://www.cic.com -0- Note to Editors: All company and product names used herein are trademarks or registered trademarks of their respective owners. CONTACT: Communication Intelligence Corporation Maurice Boucher, 650/631-7888 mboucher@cic.com |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion