OceanLake Commerce Inc. Announces Investment by Asian Strategic Partner, Appointment of Steven A. Moya to President and Chief Operating Officer and Conversion of Certain Debt
Santa Clara, CA - Steve Koskie, Chairman and CEO, announced today that subject to regulatory compliance OceanLake (TSX-V: OLI) has agreed upon a private placement of CAD$2,600,000 from a strategic partner in Asia, at CAD$0.25 a share, resulting in the issuance of 10,400,000 common shares to the investor. This strategic partnership will provide OceanLake with operating capital to continue its Asian expansion, establish a European presence and assist in the sales and marketing of the Company's product line in these markets. In addition, the partnership will assist in OceanLake opening its Asian Headquarters in Singapore and the continued build-out of operations in Tokyo, Japan, allowing OceanLake to penetrate several countries within Asia in a timely and efficient manner.
"We believe that once again we have shown the market and our investors that OceanLake truly is the only solution in the market that can achieve such high results and attract some of the world's strongest investors. It speaks volumes to our product line that we attract international partners that are eager to actively participate in the rapid deployment of OceanLake's products globally," said Mr. Koskie.
Mr. Koskie also announced the appointment of Steven A. Moya to President and Chief Operating Officer of OceanLake Commerce Inc., "I am pleased to announce that Mr. Moya will now become the President and Chief Operating Officer of OceanLake. In this new role, Mr. Moya will continue to focus on the Company's continued expansion in Asia and future foray in to Europe. It is a true sign of success for our shareholders when I can appoint such a motivated and disciplined individual to our executive team. Mr. Moya joined OceanLake a year ago to strengthen the financial position of OceanLake and to execute a global business model for distribution of OceanLake's product line. In his short tenure, Mr. Moya implemented cost cutting policies and procedures that enabled the opening of our Tokyo office and the hiring of our Japanese team. He was instrumental in finding the appropriate strategic partner in Asia, structuring the private placement and strengthening the balance sheet of the company."
Mr. Koskie will continue in his role as CEO and Chairman of the company and will work closely with Mr. Moya in all aspects of the Company. Administratively, the Company has re-located the Toronto office to a smaller facility and reallocated some of the personnel from that office to the Tokyo office. The Corporate head office will continue to be in Santa Clara, CA.
Finally, Mr. Koskie stated that the Company has received conditional approval from the TSX Venture Exchange to convert certain arm's length debt to equity, thus strengthening the balance sheet of the Company and giving OceanLake the flexibility to grow the business globally. The debt converted is a combination of unsecured and secured debt: Unsecured debt of, in aggregate, CAD$3,309,482 converted at $0.25 per share, resulting in the issuance of, in aggregate, 13,237,928 common shares of the Company; and secured debt of, in aggregate, CAD$2,992,407 converted into a new class of Series A Preference shares. The Series A Preference shares will be issued at CAD$0.25 per series A Preference share and the resulting 11,969,628 Series A Preference shares are in turn convertible into common shares at the rate of one common share for each Series A Preference share. The conversion of the secured debt and creation of the Series A preference shares will result in the creation of a new control person and, accordingly, in order to comply with a condition of the conversion, OceanLake will be seeking shareholder approval to create the Series A Preference shares.
Distributed by Filing Services Canada and retransmitted by Market Wire
Contact:
OceanLake Commerce:
Steve Koskie
(408) 521-6001 ext. 2323
E-Mail: steve@oceanlake.com