NUR Gets $7 Million Private Placement and Issues Q4 Guidance
Press release from the issuing company
LOD, Israel, Jan. 18 - NUR Macroprinters has reported the completion of a $7.0 million private placement with the Investment Corp. of United Mizrahi Bank Ltd. for the purchase of NUR Macroprinters ordinary shares.
The Investor acquired 2,333,333 ordinary shares at a price of $3.00 per share, representing the market price of the ordinary shares at the time of the parties' agreement. The Investor also received warrants to purchase an additional 612,500 ordinary shares, at an exercise price of $4.50 per warrant share, exercisable during a four-year period from the date of closing.
The securities were not registered under the US Securities Act of 1933, as amended pursuant to Regulation S and may not be offered or sold in the United States or to US persons without registration or an exemption from registration. Hedging transactions involving securities sold pursuant to Regulation S may not be conducted unless in compliance with the Act.
Commenting on the investment, Hilel Kremer, CFO of NUR Macroprinters stated, "With this additional cash resource, our extended product portfolio, lower expense levels and other efficiency measures implemented throughout 2001 we feel confident of our ability to focus on growth and to further strengthen the Company position during 2002.''
Arie Zief, Chairman of the Investment Corp. of United Mizrahi Bank Ltd., stated, "We respect the strong leadership shown by NUR's management during these difficult economic times. Therefore, we are certain that this investment in NUR will make a significant contribution to our portfolio.''
Oded Akselrod, CEO of the Investment Corp. of United Mizrahi Bank Ltd., commented, "NUR is a market leader in an industry that has tremendous growth potential. We are investing in NUR at this time, based on our total confidence in NUR's ability to fully leverage these opportunities.''
NUR also announced that it expects to report revenues of approximately $28.5 million for the fourth quarter of 2001, with net income of approximately $150,000, excluding one-time charges. After giving effect to the Company's restructuring and other one-time charges, the Company expects a net loss of approximately $750,000 in the fourth quarter.
Commenting on the guidance, Erez Shachar, CEO of NUR Macroprinters stated, "Recognizing the implications of the economic slowdown on our industry, we implemented additional cost containment efforts this quarter, enabling us to achieve better then breakeven results.''
Mr. Shachar concluded, "We are experiencing a high level of interest in the new machines we introduced during the fourth quarter -- the enhanced NUR Fresco(TM) HiQ series and the new textile NUR Fabrigraph(TM) dye sublimation printers. During 2002, we anticipate continuation of the migration from conventional print technologies to wide format digital printers.''
The Company will release its fourth quarter and year-end results on Thursday, February 14, 2002. The Company will also hold a webcast conference call on the same day to discuss the results.
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