Austin, TX (Vocus) November 25, 2009
eDoorways Corporation (PINKSHEETS: EDWY) announced it will receive a $ 1.5 million addition to its existing $ 500,000 credit facility following successful negotiations with the lending division of AJENE WATSON LLC, bringing the total available in the company’s revolver to $ 2.0 million.
Gary Kimmons, Chairman and CEO of eDoorways Corporation, said, “With the increase in our revolving line of credit, we believe we now have sufficient liquidity to not only bring our business plan into action at an accelerated pace but also to support the forward progress of complementing our endeavors.”
Ajene Watson, Managing Member of AJENE WATSON, LLC, stated, “The expansion of the credit facility with eDoorways should be seen as our vote of confidence as to the direction of the company and in its management.”
The financial business development and management division of Watson’s firm initially took the lead when AJENE WATSON, LLC was engaged by eDoorways to a 15-month consulting agreement in early 2008. After nearly a year of assisting the company with restructuring, organizing, developing and deploying its business plan, the lending division of Watson’s firm determined the viability of providing the web-based consumer problem-solving gateway, lifestyle information source, and online business-to-consumer marketplace with a non-collateralized credit facility of $ 500,000. At an interest rate of prime plus 2% and no requirement of registration of common stock convertibles, this financing offered the company greater flexibility with limited market dilution.
“We signed on to eDoorways when the company was trading at $ 0.006 per share, had two hundred or so shareholders, roughly a $ 180,000 market cap trading by appointment, and for all intent and purposes, not much of a company structure,” said Watson. “We renewed our consulting agreement with the company for 6 additional months in October of ’09 and today, eDoorways has traded as high as $ 0.15 per share, has approximately 4,000 shareholders and growing, a $ 30 million plus market cap and maintains a consistent trading volume of a couple of million shares daily. The company also now boasts a consulting/management staff of nearly 30 professionals and entities, including PhDs, professors, government technology contractors and professionals with access to the upper levels of the Department of Defense. The company is also demonstrating better corporate governance, financial protocol and overall operations. There is no question that the company has made significant quantifiable progress in the past two years.”
Similar to the original $ 500,000 capital infusion, the new credit facility of $ 1.5mm is also a non collateralized loan, payable year-end 2010 at a rate of prime plus 2%.
Sources close to the company indicate that despite intervening holidays, due to the current financial health of the company and available man power, eDoorways appears to be on schedule and should release its Beta 1.0 in mid to late December — keeping the company on target for the roll out of the additional versions of “SOLVE” (Beta 2.0, Beta 2.5, and the platform’s “SOLVE” Version 3.0) slated for release during 2010.
About eDoorways Corporation
For more information on eDoorways Corporation and/or the “eDoorways” initiative, please e-mail a package request to info@eDoorwaysCorp.com. You can also visit our corporate website at http://www.eDoorwaysCorp.com, make comments via the corporate blog (http://www.eDoorways.wordpress.com), follow us on Twitter (http://twitter.com/edoorways), or call toll free at (866) 482-3829.
Safe Harbor
Statements in this news release that are not historical facts, including statements about plans and expectations regarding products and opportunities, demand and acceptance of new or existing products, capital resources and future financial results are forward-looking. Forward-looking statements involve risks and uncertainties which may cause the Company’s actual results in future periods to differ materially from those expressed. These uncertainties and risks include changing consumer preferences, lack of success of new products, loss of the Company’s customers, competition and other factors discussed from time to time in the Company’s filings with the Securities and Exchange Commission.
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eDoorways Receives Significant Increase to Existing Credit Facility
