FNDS3000 Corp Sells Subsidiary
May 21 2009 - 8:00AM
PR Newswire (US)
PONTE VEDRA BEACH, Fla., May 21 /PRNewswire-FirstCall/ -- FNDS3000
Corp (OTC:FDTC) (BULLETIN BOARD: FDTC) (Frankfurt: "FT4," A0MWLG)
announced today that it has sold its Atlanta-based subsidiary Atlas
Merchant Services, LLC ("Atlas LLC") in connection with a
settlement with the former owner of Atlas LLC. John Hancock, Chief
Executive Officer, briefly summarized today's developments stating:
"Management's strategic review concluded that the Atlas subsidiary
was unlikely to provide significant financial contributions or
synergies, and that both companies would fare better under separate
ownership." The material terms of the sale of the subsidiary are
outlined in Form 8-K filed with the Securities and Exchange
Commission ("SEC") yesterday and the material financial impact of
the transaction was included in the Company's Quarterly Report on
form 10-Q filed on April 14, 2009 with the SEC. Hancock continued,
"We are now pleased to focus our management and financial resources
on the significant opportunities in the prepaid card business." In
addition to the announcement today of the Atlas transaction, the
Company would like to highlight some of its recent achievements: --
The completion of a $3 million financing during December 2008 and
January 2009. The funding provided the Company with the capital
required to continue the development of its prepaid card program in
South Africa. -- In addition, during this same time period, we
installed a new executive management team including Raymond
Goldsmith as Chairman of the Board of Directors, John Hancock as
Chief Executive Officer and John Watson as Executive Vice
President. The previous CEO, Michael Dodak and President, David
Fann will remain with the Company as consultants and Mr. Fann will
remain on the Board of Directors. During the period January through
March 2009, we also confirmed the position of Victoria Vaksman as
Executive Vice President of Europe, Middle East and Africa. -- We
also invested in our infrastructure in South Africa, putting in
place a back office facility, together with enhanced information
technology. We have signed a five year lease for a new South
African operations center and this will provide ample support for
full market implementation of our prepaid card programs in South
Africa and beyond. As outlined in our recently published quarterly
report, management projected that the Company will require up to an
additional $500,000 to support our operating expenditures during
the next six month period. We are proceeding with our efforts to
secure this financing but cannot provide any guarantee that we will
successfully close such financing. In early June, management will
update the market on recent progress with its South African card
development and its plans for the second half of 2009. About
FNDS3000 Corp: FNDS3000 Corp (OTC:FDTC) (BULLETIN BOARD: FDTC)
(Frankfurt: "FT4," A0MWLG) is a financial transaction processing
service company. Since its inception, its focus has been on the
development and implementation of a variety of prepaid card
programs outside the United States, including services to
individuals who lack access to conventional banking services.
FNDS3000 meets a vital need of companies that have financial
dealings with such individuals by offering prepaid cards that can
be tailored to the differing requirements of each customer.
FNDS3000 intends to provide these services in both developed and
underdeveloped nations through a proven U.S. processing platform
that has been designed for international and cross border
capability. Many of these FNDS3000 products carry worldwide brand
marks and can be used anywhere that accepts these brands. Programs
that can be supported include payroll, insurance, medical aid, gift
cards, prepaid cellular charges and small-scale international
transfers of funds. Forward Looking Statements Matters discussed in
this press release contain forward looking statements as defined
under the Private Securities Litigation Reform Act of 1995.
Investors are cautioned that such forward looking statements
involve risk and uncertainties, which could significantly impact
the actual results, performance, or achievements of the Company.
Such risks and uncertainties include, but are not limited to, the
potential loss of our relationships with each of the parties that
sponsor our cards and banks that manufacture, issue, and own the
cards; the loss of our service providers; security breaches of our
electronic information; the inability to raise sufficient capital
to fund its operations; and other risks as may be detailed from
time to time in the Company's periodic reports filed with the
Securities and Exchange Commission. The Company assumes no
obligation to publicly update or revise its forward looking
statements even if experience or future events make it clear that
any of the projected results expressed or implied herein will not
be realized. DATASOURCE: FNDS3000 Corp. CONTACT: Joe McGuire, Chief
Financial Officer, FNDS3000 Corp, +1-904-273-2702, Web Site:
http://www.fnds3000.com/
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