COSTA MESA, Calif., Oct. 24, 2013 (GLOBE NEWSWIRE) -- (TTTM) www.t3motion.com - T3 Motion, Inc., the leading provider of EV technology to commercial, consumer, law-enforcement and government markets, (the "Company" or "T3"), today announced the limits of its Revolving Line of Credit have been increased by an additional $250,000 by two of its primary institutional investors, (the "Facility").This announcement is made in accordance with NYSE MKT Company Guide Section 610(b), which requires separate disclosure of receipt of an audit opinion containing a going concern qualification. This announcement does not represent any change or amendment to the Company’s financial statements or to its Annual Report on Form 10-K for the fiscal year ended December 31, 2012.
The Facility allows for up to $1,000,000 of borrowings based on a combination of: i) 90% of the value of eligible Accounts Receivable, ii) 80% of the market value of finished inventories, and iii) 25% of the market value of raw materials and sub-assembly inventories. The Facility bears interest at 7.25% payable monthly and is secured by the Company's assets. Alpha Capital Anstalt and Brio Capital Master Fund were both significant investors in the company funding announced in November 2012 and March 2013.
"T3 Motion is excited to have the continuing support from our key investors which will provide us the additional working capital we need to fulfill our sales and revenue growth objectives as well as the expansion of our sales and marketing efforts to support the release of our new next generation vehicles due out in November," stated William Tsumpes, Chief Executive Officer and Chief Financial Officer of T3 Motion.
"This additional capital further demonstrates our commitment to provide T3 Motion with the financial support it needs as it continues to improve its financial performance under the management of its new CEO William Tsumpes," stated Shaye Hirsch of Brio Capital Master Fund.
The Company expects that the proceeds of the Financing will be used for general working capital purposes, including the purchase of parts inventory, sales and marketing, and research and development.
About T3 Motion
T3 Motion, Inc. (TTTM) designs, markets and manufactures the T3 Patroller and Vision Series Electric Stand-up Vehicles. Headquartered in Orange County, California, T3 Motion is dedicated to raising the bar on law enforcement and security capabilities in personal mobility technology. More than 5,000 T3 vehicles have been deployed in over 30 countries worldwide. For more information, visit www.t3motion.com.
“Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding T3 Motion’s business, which are not historical facts, are "forward-looking statements" that are not guarantees of future performance. Such forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those anticipated by the forward-looking statements. These risks and uncertainties include, among others, factors associated with market conditions and the satisfaction of customary closing conditions related to the proposed public offering. For additional information concerning these and other factors that may cause actual results to differ from thsoe contained in the forward-looking statements, see "Risk Factors" in the Company’s Registration Statement filed on Form S-1, as amended, and in periodic reports the Company files from time to time with the Securities and Exchange Commission.
William Tsumpes, CEO
T3 Motion, Inc.