SOFTFUND CAPITAL PARTNERS INC. ANNOUNCES SALE OF MASTERSOLUTIONS SOFTWARE INC.
VANCOUVER, British Columbia, June 18 /PRNewswire/ -- SoftFUND (Vancouver: SSF) has accepted an offer from a private company ("purchaser"), to acquire SoftFUND's 40 percent equity interest in MASTERSolutions Software Inc.("MASTERSolutions"), in exchange for 40 percent of the issued and outstanding redeemable preferred shares of the purchaser. The offer was made by the purchaser to all of the shareholders of MASTERSolutions, and has been accepted by all such shareholders. The preferred shares will receive a cumulative dividend based on gross revenues, net of direct commissions ("net revenues"), exceeding $450,000 received by the purchaser from the sale of MASTERSolutions' existing and derivative products ("product"). The dividend rate is set at a minimum of 6.3 percent. If, by June 15, 1996, the cumulative dividends paid to all preferred shareholders is less than $500,000, the preferred shares will be entitled to an additional cumulative dividend of 7 percent of the purchaser's non-product net revenue until dividends aggregate $500,000. The purchaser has the right to redeem SoftFUND's 800 preferred shares at $1.00 per share, after cumulative dividends to all preferred shareholders exceed $3,000,000. Based on the foregoing terms, cumulative dividends of $200,000 to $1,200,000 will be paid to SoftFUND if the purchaser is successful with the sale of its product and non-product software. SoftFUND has pledged, under certain conditions, to provide the purchaser with a secured working capital line of credit facility of up to $60,000. The purchaser will use its best efforts to obtain Stage II financing for MASTERSolutions. The line of credit facility will be paid out on the earlier of the closing of the Stage II financing, or Oct. 1, 1993. SoftFUND is an investment company that specializes in funding developed software, particularly in the emerging communications field of wireless data, serving today's mobile world. Management at SoftFUND is committed to "Building A Wireless Future." -0- 6/18/93 /CONTACT: Peter Bradshaw, chairman, or Rooky Driver, executive assistant to the chairman, 604-682-1400, both of SoftFUND Capital Partners/ (SSF.)
CO: SoftFUND Capital Partners Inc.; MASTERSolutions Software Inc. ST: British Columbia IN: CPR SU: TNM
LM-JL -- LA004 -- 3383 06/18/93 06:00 EDT
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|Date:||Jun 18, 1993|
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