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 million. 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 this offering. 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. Forward-Looking Statements 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 statements. Brad Barker of TexCom, Inc., +1-713-914-9193
SOURCE TexCom, Inc.