Webxu Announces Reduction of Liabilities by Conversion of Notes to Common Stock
LOS ANGELES, April 2, 2013 /PRNewswire/ -- Webxu, Inc. (OTCBB: WBXU), a media company that owns and operates a network of consumer branded websites and businesses focused on Customer Acquisition, E-Commerce and Mobile Media, today announced the conversion of existing bridge debt and an improved Balance Sheet.
During Q1 2013, Webxu note holders converted $550 thousand of debt into common stock. The amount converted represents 32.4% of investment debt, 17.7% of all debt appearing on Webxu's 12/31/12 Balance Sheet. Part of Webxu's strategy for 2013 is to reduce liabilities on their Balance Sheet, while continuing to increase revenue and profit margin.
"We are extremely pleased that many of our original note holders chose to convert their debt into our common stock," said Keith Schaefer, Webxu CEO. "This not only improves our Balance Sheet but points to a vote of confidence in Webxu long term by our original note holders and we intend to continue to pursue further debt reduction going forward."
About Webxu, Inc.
Webxu, Inc. (OTCBB: WBXU) is a media company that owns and operates a network of consumer branded websites and businesses focused on Customer Acquisition, E-Commerce and Mobile Media. Through its branded consumer websites, Webxu generates revenue by providing Advertiser clients with targeted consumer traffic. Webxu is headquartered in Los Angeles, CA. For more information about Webxu, visit http://www.webxu.com.
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Cautionary Language Regarding Forward Looking Statements
This release and any attachments contain forward-looking statements within the meaning of the "safe harbor" provisions of the Federal securities laws, including Section 21E of the Securities Exchange Act of 1934, that involve risks and uncertainties. Words such as "will," "believe," "intend," "potential" and similar expressions are intended to identify forward-looking statements. These forward-looking statements include the quotations from management in this press release, as well as any statements regarding the Company's anticipated financial results and strategic and operational plans. The Company's actual results may differ materially from those anticipated in these forward-looking statements. Factors that may contribute to such differences include, but are not limited to: the Company's ability to deliver an adequate rate of growth and manage such growth; the impact of changes in government regulation and industry standards; the Company's ability to maintain and increase the number of visitors to its websites; the Company's ability to identify and manage acquisitions; the impact of the current economic climate on the Company's business; the Company's ability to attract and retain qualified executives and employees; the Company's ability to compete effectively against others in the online marketing and media industry; the impact and costs of any failure by the Company to comply with government regulations and industry standards; and costs associated with defending intellectual property infringement and other claims. More information about potential factors that could affect the Company's business and financial results is contained in the Company's latest annual report. These forward looking statements are made as of today's date and, except as otherwise required by law, the Company does not intend and undertakes no duty to release publicly any updates or revisions to any forward-looking statements contained herein to reflect events or circumstances after the date hereof.
SOURCE Webxu, Inc.