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DECORIZE RAISES $1.1 MILLION THROUGH A PRIVATE PLACEMENT OF COMMON STOCK
SPRINGFIELD, Mo. (PRNewswire) - SPRINGFIELD, Mo., Jan. 14 /PRNewswire-FirstCall/ -- Decorize , an emerging growth provider of direct sourcing solutions for the global home decor market, announced today that it had raised $1.1 million in a private placement of common stock with institutional investors. The investors purchased 785,714 shares of stock at $1.40. The transaction also included a warrant to purchase an additional 785,714 shares at an initial exercise price of $2.80. The proceeds from the equity financing are expected to support the company's rapid growth through the hiring of additional personnel and through investments in further technology development. Decorize recently reported a 77% increase in first quarter revenues and its first profitable quarter. "We continue to see strong demand from many of the leading retailers in the country," said Jon Baker, Decorize's CEO. "In fact, the principal constraint we have faced in meeting the needs of our larger customers has been capital. The recent equity raise should help us satisfy the growing demand for the value proposition that we offer both large and small retailers." About Decorize, Inc. Decorize, Inc. is the proprietor of a breakthrough sourcing, logistics and technology model that reduces the non-value added costs that have traditionally been channeled into the home furnishings category. The company strips away layers of handling and storage steps to deliver products directly from the Far East to the doors of retailers, at unprecedented cost savings. Decorize has served more than 2,000 small and large retail accounts, including national brand names Dillard's, Rooms To Go and Sears -- The Great Indoors. The company's business model affords aggressive savings for large retailers and also for small retailers. Decorize deploys a "one-price" approach at Decorize.com. For the first time in the industry, small retailers can ship directly from the Far East with a minimum order of $1,000 while enjoying cost savings of up to 30% over wholesale prices. Decorize offers over 10,000 SKUs through its brands: Faith Walk, GuildMaster and decorize.com. Additional information on the company and its products can be found at http://www.decorize.com/. Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including without limitation, continued acceptance of the company's products, increased levels of competition for the company, new products and technological changes, the company's dependence on third-party suppliers, and other risks detailed from time to time in the company's periodic reports filed with the Securities and Exchange Commission. |
