MIAMI, Oct. 15, 2002 (PRIMEZONE) -- E-Rex, Inc. (OTCBB:EREX) today announced that it has entered into a financing agreement with an unrelated third-party investment group to provide up to $500,000 in funding over an approximately one year period. Under the terms of the agreement, the investment group will purchase common stock from the Company at pre-determined prices based on the stock price and trading volume at the time of each funding traunch. Funding will begin after the Company files and the SEC approves a Form S-3 registration statement, which is expected to be filed within the next 14 days.
The net proceeds from the investment agreement will be used to fund the continued marketing and development of the Dragonfly mobile office platform, including accelerating payments to development partner Valcom Ltd., conducting product field trials and working toward securing long-term strategic partnerships, as well as for general corporate purposes and working capital.
Dragonfly, the Company's award-winning six-in-one prototype device, will be showcased and demonstrated at the CTIA Wireless I.T. & Internet Show in booth No. 1414 on October 17 and 18 and the third annual Windows Embedded DevCon. These events will be followed by the launch of a market research and field testing program targeting mobile workforces at leading organizations in the insurance, real estate, transportation, pharmaceutical, and field sales and service sectors, as well as agencies in government and law enforcement, presently scheduled to begin in November.
About E-Rex, Inc. and Dragonfly
A Microsoft Windows Embedded Partner, E-Rex, Inc. is a development stage technology company dedicated to designing and the future production of user-friendly portable devices and direct Internet access products targeted at the mobile and wireless market.
Awarded Best of Show for Best Mobile Office Device at Planet PDA 2002, the Company's flagship product is called Dragonfly. It is the first combined Handheld PC and Document Manager, all in a stand-alone unit about the same size and weight as a laptop computer. Users can access the Internet and e-mail, color print on plain paper, copy, fax and scan, all from one wireless device.
Additional details on the Company and Dragonfly can be found online at http://www.e-rex.net.
This press release may contain forward-looking information within the meaning of Section 27A of the Securities Act of 1933 or Section 21E of the Securities and Exchange Act of 1934 and is subject to the safe harbor created by these sections. E-Rex, Inc. assumes no obligation to update the information contained in this press release. Certain information included herein may contain statements that are forward-looking, such as statements relating to plans for future expansion and other business development activities as well as operating costs, capital spending, financial sources, and the effects of competition. Such forward-looking information is subject to changes and variations which are not reasonably predictable and which could significantly affect future results. Accordingly, such results may differ from those expressed in any forward-looking statements made by or on behalf of the Company.