Javelin Systems Inc. Signs $7.5 Million Financing
Agreement with FINOVA Capital Corporation
(Business Wire; 06/18/98)
IRVINE, Calif.--(BUSINESS WIRE)--June 18, 1998--Javelin Systems, Inc.
(NASDAQ:JVLN), an innovative designer of integrated touchscreen, Windows(tm)-
based computers, today announced that it has signed an agreement for a $7.5
million credit facility with FINOVA Capital Corporation. The credit facility
includes a $6.0 million revolving line of credit and an $1.5 million three-year
Under the terms of the agreement FINOVA will receive 100,000 warrants to
purchase Javelin Systems' common stock at $9.00 per share. The warrants will
have customary anti-dilution protection. According to Javelin Systems
President and CEO Richard P. Stack, the transaction was agented by the
Company's investment banking firm, Irvine, CA-based L.H. Friend, Weinress,
Frankson & Presson, Inc.
"This funding will greatly enhance Javelin's working capital as well as
enable our continued pursuit of strategic acquisition candidates," commented
Stack. "We view this new credit facility as the most capital efficient method
to meet our financing requirements. It reduces our cost of capital compared to
straight equity while maintaining a conservative debt/equity ratio."
The FINOVA Group Inc. (NYSE:FNV), through its principal operating
subsidiary, FINOVA Capital Corporation, is a Phoenix-based major domestic
commercial finance company providing a broad range of financing and capital
market products primarily for midsize businesses.
L.H. Friend, Weinress, Frankson and Presson, Inc. is a leading
institutional West Coast-based NASD registered investment bank with four major
divisions: Corporate Finance, Investment Research, Institutional Sales and
Trading and Market-Making.
Javelin Systems, Inc. designs, engineers, and markets a full line of
integrated touchscreen computers and hand-held terminals through Original
Equipment Manufacturers (OEMs) and a network of systems integrators. The
Company's leading edge computers integrate substantially all of the
functionality of a standard desktop PC into a small footprint, network-ready
package utilizing industry standard operating systems, such as Microsoft's DOS,
Windows, Windows95(tm) and WindowsNT(tm).
The statements in this press release that relate to future plans or events,
including the integration and effects of the above mentioned credit facility
transaction, or events are forward-looking statements that involve risks and
uncertainties. Actual events may differ materially. Readers are cautioned not
to place undue reliance on these forward-looking statements, which speak only
as of the date hereof. The Company undertakes no obligation to release
publicly the result of any revisions to these forward-looking statements that
may be made to reflect events or circumstances after the date hereof or to
reflect the occurrence of unanticipated events.
CONTACT: Javelin Systems, Inc.
Marty Tullio, 949/376-4458