¶ TSIS: Fixed Price Convertible @ Market x 2.5...
Interactive Telesis Closes 3rd Round Financing
SAN DIEGO--(BUSINESS WIRE)--May 22, 2001--Interactive Telesis(TM)
Inc. (OTCBB:TSIS), a provider of interactive voice response (IVR) and
speech-enabled hosting services, today announced that it has closed
its previously announced third round of financing with Hambrecht &
Quist Guaranty Finance LLC (H&QGF).
On May 16th, the company received $250,000 in exchange for a note,
which is convertible into Series A Convertible Preferred Stock with a
fixed conversion price of $0.75 a share. The Series A Convertible
Preferred Stock is convertible into common shares on a one-to-one
basis.
In addition, the company announced that, on May 15th, BH Capital
and Excalibur Limited Partnership purchased shares of the company's
Series B Convertible Preferred Stock for $250,000. The Series B shares
convert into the company's common stock at a fixed price of $0.50 per
share. BH Capital and Excalibur have each been given warrants to
purchase a total of 15,000 shares of Series B preferred stock which
are convertible into 150,000 common shares at $0.55 a share. Complete
details of the financing will be set forth in the company's SEC
filing.
"We are pleased that our existing investors are continuing to
support us and believe in our management team's ability to execute,"
said Andrew Schachter, Interim CEO of Interactive Telesis. "Like many
technology companies, our growth has been constrained by the slowing
economy. We believe that this round of financing will fully finance
our existing business plan and allow us to execute on our plan to be
cashflow positive by calendar year-end."
About the Investment Firms
The financing comes from three investment firms: BH Capital,
Excalibur Limited Partnership and Hambrecht & Quist Guaranty Finance
LLC (H&QGF). BH Capital and Excalibur are both investment firms
headquartered in Canada. H&QGF is a subsidiary of JPMorgan H&Q, and is
headquartered in San Francisco.
About Interactive Telesis
Interactive Telesis specializes in interactive voice response
(IVR) services and deployment of automated speech recognition (ASR)
technologies. Interactive Telesis presents a very compelling offering
for companies wishing to leverage the benefits of speech recognition
without the high cost of ownership, capital outlay and internal IT
staff requirements. Clients include industry leaders such as Wells
Fargo, Global Crossing, Lucent, MCI Worldcom, JambaTalk, Nike, Sprint,
Verizon, Yahoo! and others. Interactive Telesis is headquartered in
San Diego. For additional information, visit
www.interactivetelesis.com.
Interactive Telesis is a trademark of Interactive Telesis Inc. All
other trademarks are properties of their respective owners.
Forward-Looking Statement Disclaimer
Some of the statements made in this press release discuss future
events and developments, including our future business strategy and
our ability to generate revenue, income and cash flow, and should be
considered forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. You can generally
identify these "forward-looking" statements by words such as "expect,"
"anticipate," "believe," "estimate," "intend," "plan," and similar
expressions. These statements involve a high degree of risk and
uncertainty that exist in the Company's operations and business
environment and are subject to change based on various factors that
could cause actual Company results, performance, plans, goals and
objectives to differ materially from those contemplated or implied in
these forward-looking statements. Actual results may be different from
anticipated results for a number of reasons, including the Company's
new and uncertain business model, uncertainty regarding acceptance of
the Company's products and services and the Company's limited
operating history. Certain statements in this release are forward
looking and are based on Company management's current expectations.
Risk factors that could cause future results to vary materially from
such expectations are detailed in the Company's filings with the
Securities and Exchange Commission.
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CONTACT: Interactive Telesis, San Diego
Elizabeth Myers, 800/995-5798 (Media Contact)
or
JJ Jeffrey, 888/546-2957 (Investor Contact)
