SARASOTA, Fla., April 30, 2013 /PRNewswire/ -- Axiologix, Inc. (www.axiologix.net) (AXLX.PK), an International Technology and Services Organization focused on delivering 'Cloud' Products and Services, announces that total debt reduced by $775,372 or 41% in the three months ended February 28, 2013 following the $800,000 equity transaction with Institutional Investor, Ironridge Technology Co.
Current liabilities reduced to $712,368 at February 28, 2013 from $1,332,446 at November 30, 2012 while long term liabilities reduced from $555,274 to $400,000 in the same period. Full details can be found at www.otcmarkets.com/stock/AXLX/quote
Significantly, as part of the Ironridge transaction, secured debt of around $495,000 was fully paid down resulting in immediate monthly cash savings to the business of approximately $30,000 in principle and interest payments. In addition key payables of over $300,000 were also converted to equity. The Company will use the cash freed up to drive its organic growth efforts. In addition, the stronger balance sheet as a result of the reduction in debt should make the Company more attractive to potential funders for pending and future acquisitions that the Company is currently pursuing.
Vincent Browne, Chairman and Chief Executive of Axiologix, Inc. said, "We wanted to ensure that our current and potential future stakeholders fully understood the significance of our transaction with Ironridge and just what it means for our Company. The conversion of the secured debt and payables into equity provides a significant double benefit. Cash that would otherwise have been used to pay down debt can now be focused on growing the business and our balance sheet now has positive working capital and positive shareholders' equity for the first time in its existence. All of this should help make us more attractive to quality long term funding sources required for us to close the pending and planned acquisitions and from which to continue our rapid organic growth."
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About Axiologix, Inc.
Axiologix, Inc. is an International Technology and Services Organization focused on delivering Cloud-based Products and Services to small and medium sized businesses primarily in the United States and to operators globally. Axiologix is headquartered in Florida, with international operations in Dublin, Ireland. Additional information may be found at www.axiologix.net
This press release contains forward-looking statements. Words such as "expects", "intends", "believes", and similar expressions reflecting something other than historical fact are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. These forward-looking statements involve a number of risks and uncertainties, including the timely development and market acceptance of products and technologies, the ability to secure additional sources of finance, the ability to reduce operating expenses, and other factors described in the Company's filings with the OTC Markets Group. The actual results that the Company achieves may differ materially from any forward-looking statement due to such risks and uncertainties. The Company undertakes no obligation to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.
SOURCE Axiologix, Inc.