Diamond seller Abazias places first traunche on Famlon LLC
04 Oct '05
2 min read
Leading international diamond seller Abazias is pleased to announce the completion of the first traunche of an anticipated two traunche private placement in the amount of $500,000. The purchase, with a private investment group Famalom, LLC, concluded the first traunche last week with Abazias receiving $250,000.
The first purchase agreement, which was concluded at or near market prices for a total of 3.5 million restricted shares that cannot be sold in the open market until either registered, or held for at least one year -at just above 7 cents a share. The agreement also included partial non-registered warrant coverage with various strike prices up to 20 cents.
Proceeds will be used to further implement Abazias' business plan, which includes a larger marketing budget to increase awareness of its current dominant status as the largest online site for loose diamonds.
The proceeds will also allow Abazias to expand their online product offerings to include more jewelry and watches. CEO Oscar Rodriquez commented, "They were pleased to successfully negotiate this financing with an investment group that truly understands business plan and model. This funding made sense and was not excessively dilutive as most previous proposals were. These are the first dollars raised in the history of the company outside my personal investment, and with current low burn rate these funds will truly go to expanding business."
Abazias.com showcases over 70,000 diamonds, valued at over $350 million on its site at www.abazias.com. Most of Abazias.com's diamonds are GIA, AGS or EGL certified.
Abazias.com offers the "Couples Diamond" which is required to meet even higher standards for cut, clarity and dimensions. Abazias.com is also a full-service jeweler offering a large selection of settings for stones purchased.
marketing@alchempro.com
