NEW YORK, Feb. 23, 2005 (PRIMEZONE) -- DCI USA, Inc. (OTCBB:DCIU) announced today that on Monday, February 14, it filed to become a Business Development Company (BDC), pursuant to the Investment Company Act of 1940. As a BDC, the Company intends to invest in businesses and intends to provide significant management expertise, corporate finance capabilities and leadership to its portfolio companies.
Commenting on the announcement, Adam Ofek, president of DCI USA, stated, "As a result of electing as a BDC we believe we will have the flexibility and resources to provide financing and corporate finance solutions to a wide range of companies. The end goal is to consistently increase the valuation of the individual companies in our portfolio. We believe that our strategy of being actively involved in all aspects of our portfolio companies, in particular leveraging DCI USA's corporate finance capabilities by taking an active role in the corporate finance activities of our portfolio companies, is the most effective way to deliver long-term value to our stockholders. We are currently evaluating a number of investment opportunities; however, at present, we have not reached agreements with any companies regarding potential investments at this time.
Business development companies are publicly-traded, closed-end funds that make investments in private companies and thinly-traded public companies through the use of senior debt, mezzanine financing, and equity funding. DCI USA plans to use equity capital provided by public shareholders, financial institutions, and debt capital from various sources to make investments in growing small private & public businesses.
Safe Harbor
This press release may contain forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on the current expectations of the management of DCI USA only, and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to, factors detailed in the Company's Securities and Exchange Commission filings; economic downturns affecting the operations of the Company, adequate financing to achieve the new strategic plans, and the unavailability of general financing to complete management's overall plans and objectives. DCI USA undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. For a more detailed description of the risk and uncertainties affecting DCI USA, reference is made to DCI USA's reports filed from time to time with the Securities and Exchange Commission. This press release is available at www.dci-mb.com.