HOUSTON, Oct. 17 /PRNewswire-FirstCall/ -- TexCom, Inc. (OTC Pink
Sheets: TEXC) announced today that it has closed private placement offering
of Series A Convertible Preferred Stock for gross proceeds of $4.25
Private Placement Proceeds will go toward TexCom's investment of $3.5
million in Houston Biodiesel, LLC to build and operate a 35 Million gallon
per year biodiesel processing facility in Seabrook, Texas as well as for
general corporate overhead needs. TexCom will act as Asset Manager for the
project. The funds raised will complement previously announced project
commitments of $10.6 Million in equity from U.S. Renewable Group. LBC
Houston, LP will provide terminal assets, storage and terminal services for
the biodiesel plant as previously announced.
Pursuant to the terms of the offering, the Company issued 2,125,000
shares of Series A stock Convertible Preferred Stock at a price of $2.00
per share. The stock will pay a 10% dividend, and is convertible into two
shares of common stock at $1.00 per share. Additionally, each share of
Series A stock will be accompanied by a warrant entitling the holder to
purchase two shares of common stock, par value $0.001 at an exercise price
of $3.00 per share for a period of five years following their issuance.
Following the private placement, TexCom, Inc. will have approximately
43 million shares of common stock outstanding assuming full conversion of
Financial West Group (FWG) acted as placement agent for the offering.
Brokers for FWGs Socially Responsible division, Progressive Asset
Management (PAM) were the lead selling agents.
Louis Ross, C.E.O. of Texcom stated, "We are very pleased with the
results of the Private Placement provided through Financial West Group and
their subsidiary, Progressive Asset Management. Their investors have a core
appreciation for the economic opportunity in the biofuels sector and the
added environmental benefits of the Seabrook project."
Gene Valentine, CEO of Financial West Group stated, "FWG and PAM were
excited at the opportunity to provide funding for a facility such as
Houston Biodiesel which gave our investor base access to an opportunity
with potential upside, not to mention the more environmentally friendly
characteristics of Biodiesel."
About TexCom, Inc.
Headquartered in Houston, Texas; TexCom, Inc. is pursuing expansion in
biodiesel production and certain energy related businesses and developing
them to their logical and full commercial potential. For more information,
please visit the company Web site at http://www.texcomresources.com .
About Financial West Group and Progressive Asset Management:
Founded in 1985, Financial West Group, member NASD/SIPC, based in
Westlake Village, California offers a full range of financial services
including Socially Responsible Investing (SRI). Progressive Asset
Management (PAM) is the SRI division of FWG. Since 1987 the PAM team has
dedicated itself to delivering competitive financial returns with social
and environmental benefits.
Statements contained herein and the information incorporated by
reference herein may be forward-looking statements within the meaning of
Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act").
Forward-looking statements can be identified by the use of forward-looking
terminology such as, but not limited to, "may," "will," "expect,"
"anticipate," "estimate," "would be," "believe," or "continue" or the
negative or other variations of comparable terminology. We intend such
forward-looking statements to be covered by the safe harbor provisions
applicable to forward-looking statements contained in Section 21E of the
Exchange Act. Such statements (none of which is intended as a guarantee of
performance) are subject to certain assumptions, risks and uncertainties,
which could cause our actual future results, achievements or transactions
to differ materially from those projected or anticipated.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events, or performance and underlying
assumptions and other statements, which are other than statements of
historical facts. These statements are subject to uncertainties and risks
including, but not limited to, product and service demands and acceptance,
changes in technology, economic conditions, the impact of competition and
pricing, and government regulation and approvals. TexCom cautions that
assumptions, expectations, projections, intentions, or beliefs about future
events may, and often do, vary from actual results and the differences can
be material. Some of the key factors which could cause actual results to
vary from those TexCom expects include changes in natural gas and oil
prices, the timing of planned capital expenditures, availability of
acquisitions, uncertainties in estimating proved reserves and forecasting
production results, operational factors affecting the commencement or
maintenance of producing wells, the condition of the capital markets
generally, as well as our ability to access them, and uncertainties
regarding environmental regulations or litigation and other legal or
regulatory developments affecting our business.
Our expectations, beliefs and projections are expressed in good faith
and are believed to have a reasonable basis, including without limitation,
our examination of historical operating trends, data contained in our
records and other data available from third parties. There can be no
assurance, however, that our expectations, beliefs or projections will
result, be achieved, or be accomplished. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as of
the date hereof. We undertake no duty to update these forward-looking
Brad Barker of TexCom, Inc., +1-713-914-9193
SOURCE TexCom, Inc.