DirectView Holdings Secures $338,000 in Convertible Note Financing Priced at $0.0175 per Share Company to use proceeds to expand marketing efforts for its surveillance and security services business
NEW YORK, April 30, 2014 /PRNewswire/ -- DirectView Holdings, Inc. ("DirectView") (OTCQB: DIRV), a company focused on ownership and management of leading video and security technology companies, today announced it has issued a convertible promissory note (the "Note") to an undisclosed institutional investor (the "Investor") in the principal amount of $338,000. The Company plans to use the capital to expand its marketing efforts for its security and surveillance services business.
Commenting on the capital raise, Roger Ralston, CEO and Chairman of DirectView stated, "This capital will enable us to step up our marketing efforts in several key market categories including the cannabis industry, education, transportation and hotel / property management among others. We believe there is a growing need for security providers with the technical knowhow to bridge different platforms and products to create customized and cost effective surveillance solutions, and we intend to use this cash infusion to build our sales and service team to target these large market categories. We are pleased to have secured this institutional investment and look forward to working with this Investor in the future to help us opportunistically grow DirectView's business in the years to come for the benefit of our stockholders."
The Note bears interest at the rate of eight percent (8%) per annum until paid in full and can convert into shares of the Company's common stock at a price of $0.0175 per share, subject to certain provisions. The note is not convertible into common shares for a period of 6 months. In a separate transaction, the company retired $35,000.00 of notes convertible at $0.0001 per share on April 7, 2014 for a total of $42,483.00 including interest. Management believes the net effect of the two transactions are favorable for the Company and its stockholders.
About DirectView Holdings, Inc.:
DirectView Holdings, Inc., together with its subsidiaries, provides security and surveillance as well as teleconferencing and services to businesses and organizations. The company operates in two divisions, Security (Video Surveillance) and Video Conferencing. The Security division offers technologies in surveillance systems providing onsite and remote video and audio surveillance, digital video recording, and services. It also sells and installs surveillance systems; and sells maintenance agreements. The company sells its products and services in the United States and internationally through direct sales force, referrals, and its Websites. The Video Conferencing division offers teleconferencing products and services that enable clients to conduct remote meetings by linking participants in geographically dispersed locations. It is involved in the sale of conferencing services based upon usage, the sale and installation of video equipment, and the sale of maintenance agreements. This division primarily provides conferencing products and services to numerous organizations ranging from law firms, banks, high tech companies and government organizations. For more information visit our websites at www.DirectViewSecurity.com / www.DirectViewInc.com
Safe Harbor Statement: The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking information made on the company's behalf. All statements, other than statements of historical facts, which address the company's expectations of sources of capital or which express the company's expectation for the future with respect to financial performance or operating strategies can be identified as forward-looking statements. Such statements made by the company are based on knowledge of the environment in which it operates, but because of the possibility of unknown factors, as well as other factors beyond the control of the company, actual results may differ materially from the expectations expressed in the forward-looking statement. An investment in our common stock involves a significant degree of risk. You should not invest in our common stock unless you can afford to lose your entire investment. You should consider carefully all risk factors and other information in our annual report and quarterly filings before deciding to invest in our common stock. If any of the following risks and uncertainties develops into actual events, our business, financial condition or results of operations could be materially adversely affected and you could lose your entire investment in our company.
Forward Looking Statements: This press release contains forward-looking statements that involve a number of risks and uncertainties, including statements regarding the outlook of the Company's business and results of operations. By nature, these risks and uncertainties could cause actual results to differ materially from those indicated. Generally speaking, any statements using terms such as "will," "expect," "anticipate," or "may," or which otherwise predict or address future results or events, are likely to contain forward-looking statements. It is important to note that actual results may differ materially from what is indicated in any forward-looking statement. Readers should consider any forward-looking statements in light of factors that could cause actual results to vary. These factors are described in our filings with the SEC, and readers should refer to those filings, including Risk Factors described in those filings, in connection with any forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE DirectView Holdings, Inc.