TEMECULA, Calif., June 28, 2005 (PRIMEZONE) -- CLX Investment Company (OTCBB:CLXN) today announced that the company has acquired an additional 9% equity stake in portfolio investment eStrategy Solutions, an e-learning provider, which increases CLX Investment Company's total investment in eStrategy Solutions to 49%.
In addition to its investment, CLX Investment Company has also provided eStrategy Solutions with a draw-down line of credit in the sum of $250,000, of which approximately $120,000 has already been advanced to eStrategy Solutions and used to accomplish a number of milestones over the past several months. eStrategy Solutions integrated and launched a new Learning Management Platform and has begun servicing a larger customer base for its online continuing education courses, including a recently announced Rules Course for the Texas Board of Chiropractic Examiners.
Last year, eStrategy Solutions entered into a contract with the state of Texas through its Department of Information Resources (DIR) to provide customization and delivery of training course content for state agencies and certification boards. The capital that CLX provided since it made its first investment has allowed eStrategy Solution to expand its marketing efforts to Texas state agencies and increase the number of users paying for online courses.
"The acquisition of an additional 9% of eStrategy Solutions is a part of our ongoing capital commitment and brings our total investment in this portfolio company to $62,000," commented Shane H. Traveller, Chief Executive Officer of CLX Investment Company. "We are nearing the end of our financial commitment to eStrategy Solutions and do not anticipate that it will need to draw down significant additional capital from the line of credit.
"As a result of our financing, eStrategy Solutions has made significant strides over the last several months in both its level of service and the marketing of its learning management platform to agencies in the state of Texas. eStrategy Solutions is servicing a growing number of online continuing education customers, and revenue is projected to increase as the number of courses offered and program users continues to grow. Online training is the future of continuing education and certifications, and eStrategy has secured a strong foothold in its niche market," added Mr. Traveller.
About the Company
CLX Investment Company elected to be regulated as a Business Development Company pursuant to Section 54 of the Investment Company Act of 1940 on September 13, 2004, and is pursuing a business plan wherein the Company will seek to acquire and invest in developing companies. CLX has acquired a total of 49% interest in eStrategy Solutions (http://www.estrategysolutions.com).
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All statements included in this release, including statements regarding potential future plans and objectives of CLX Investments are forward-looking statements. Such statements are necessarily subject to risks and uncertainties, some of which are significant in scope and nature beyond CLX Investments' control. There can be no assurance that such statements will prove accurate. Actual results and future events could differ materially from those anticipated in such statements depending on many factors. Historical results are not necessarily indicative of future performance.