Pinnacle Activity Ticker
Flint Telecom Group Signs $10 Million Reserve Equity Financing Line With AGS Capital Group
Flint Telecom Group, Inc. (http://www.flinttelecomgroup.com/) (OTCBB: FLTT), an International Telecoms Technology and Services Organization, today announces that it has completed a Reserve Equity Finance Agreement with New York based AGS Capital Group LLC. AGS has committed to purchase, over a period of two years, shares of the Company's common stock for cash consideration up to an aggregate of $10 million.
The Reserve Equity Financing provided by AGS Capital Group is a cost effective and flexible financing that places Flint Telecom in control of how and when it raises equity and debt. In order to utilize the agreement, Flint must increase its total authorized common shares and have an effective registration statement in place, both of which are in progress. Flint Telecom can then sell its common shares when the price is attractive to the Company or issue debt to AGS. The Agreement does not prohibit the Company from raising additional debt or equity financings, other than financings similar to this agreement.
Full details of the agreements and conditions are disclosed in the Company's SEC Form 8-K filed yesterday with the SEC.
Allen Silberstein, Principal at AGS Capital Group, added, "We are very excited to be working with Flint Telecom as they have a very well thought out strategy with the opportunity to grow significantly in a trillion dollar industry. We look forward to providing them with the necessary capital and support to achieve this potential in the coming years."
Vincent Browne, Chairman and CEO of Flint Telecom Group, commented, "This agreement is a very significant step for the Company that, along with recent debt reduction and restructuring, underpins operations going forward. I believe it will provide the necessary growth capital to allow us to accelerate our growth, both organically and through M&A activities, in the rapidly expanding VoIP (Voice over Internet Protocol), and wireless technology services markets globally. AGS is a strong financial partner and we look forward to working closely with them to build sustainable value for our shareholders in a significant global business."
About Flint Telecom Group, Inc.
Flint Telecom Group, Inc. is a fast growing Telecoms Technology Organization with a portfolio of companies that deliver next-generation IP communications Products and Services. The Company was founded by telecom and technology entrepreneurs with a proven track record in building global technology companies. Flint Telecom has grown both organically and through corporate activity and is traded on the OTC Bulletin Board® (OTCBB) under the ticker FLTT.OB. Additional information may be found at www.flinttelecomgroup.com
About AGS Capital Group, LLC
AGS Capital Group provides flexible debt and equity financing solutions for growth-stage and mature public companies as well as private companies looking to go public. With offices in New York, Hong Kong and India, AGS Capital Group has facilitated the growth of companies within the U.S. and those domiciled in foreign markets around the globe. AGS Capital Group invests in public companies listed on all exchanges. We perform fundamental analysis including credit risk, technical analysis of market trends and industry, evaluation of management team experience and corporate structure evaluation. AGS Capital Group invests in Fixed Income and offers the Reserve Equity Financing. Additional information may be found at www.agscapitalgroup.com
This press release contains forward-looking statements, which are made pursuant to the Safe-Harbor provisions of the Private Securities Litigation Reform Act of 1995. 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 Securities and Exchange Commission. 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.
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