The Two Firms Acquire 1.57 Million Preferred Shares for $15.7M
(Vancouver, CANADA) GPS Industries, Inc (GPSI)
Under the terms of the agreement, GWSE and Leisurecorp have invested $15.7 Million aggregate in GPSI through the purchase of 1,574,089 newly issued Series B convertible preferred shares. In connection with this initial investment, GWSE and Leisurecorp also receive the right to invest an additional $13.0 Million in GPS Industries within 120 days of the original investment.
In a related transaction, certain Officers and Directors of the Company converted
$3.7 Million of outstanding short term obligations into common and preferred stock of the Company. In addition, Bart Collins, President of GWSE and a current Director of the Company, was elected to the office of Executive Vice President GPSI and two additional Directors, Marc Potter and Robert Linn, were appointed to the Company’s Board.
Istithmar said GPSI’s industry-leading product, Inforemer-HDï?¤ has "reinvented the application of global positioning" technology and has revolutionized the way golf courses are managed. Applications within the Inforemer-HDï?¤ system include distance measurement, tournament management, customer relations, real-time communications, food-and-beverage ordering and on-screen messaging that uncludes full motion video ads.
Robert C. Silzer, President and CEO of GPSI, commented "We have already achieved
substantial growth in our golf division and these funds will obviously enhance our ability to further accelerate sales. Additionally, we have strengthened our balance sheet, we have dramatically reduced our debt, and have a solid financial platform for global expansion in the future."
"In addition to bringing substantial financial resources to the table" Mr. Silzer emphasized. "GWSE and the Dubai group bring enormous strategic opportunities to our business. Leisurecorp’s real estate portfolio represents an ideal launching pad for the wireless services division we’ve been developing for more than a year now."
Bart Collins, President of Great White Shark Enterprises, agrees: "At nearly 100 facilities around the world GPSI’s patented technology is already transforming the way golf courses are managed. But the Company’s wireless technology has vast potential beyond the golf industry. This recapitalization of the business provides the means by which GPS Industries can realize its full potential, in both golf and wireless services."
About Leisurecorp LLC
Leisurecorp LLC, a subsidiary of Istithmar, focuses on the development of Istithmar’s current leisure assets inside Dubai and internationally, as well as identifying new high-yielding investment options. Under the leadership of David Spencer – former Director of Marketing and Brand Management for Nakheel – Leisurecorp’s initial portfolio includes Jumeirah Golf Estates, Island Global Yachting and Nakheel’s beach and recreation clubs. The consolidation of Istithmar and Nakheel’s leisure related assets under Leisurecorp LLC is in line with the holding company’s aim to shape Dubai into the world’s leading leisure and lifestyle destination.
Istithmar Leisure, the trading name of Leisurecorp LLC, and Greg Norman are currently working together in the development and design of the Jumeirah Golf Estates, a landmark development in Dubai. Boasting four superstar-designed golf courses, including two by Greg Norman, the Jumeirah Golf Estates is set to become one of the world’s most prestigious residential golfing communities.
About Great White Shark Enterprises
Great White Shark Enterprises is a multi-national corporation headed by Greg Norman with offices in Jupiter, Fla., and Sydney, Australia. The company’s interests are primarily focused around golf and the golf lifestyle. For more information, please visit: www.shark.com
About GPS Industries (GPSI)
GPS Industries, Inc. (OTCBB: GPSN) owns the patents for golf-related GPS and Differential GPS (DGPS) applications in fifteen Countries worldwide, including the United States, Australia, Great Britain and Japan. Based on their patented technology, GPSI has become the leading innovator of Wi-Fi powered management solutions for golf facilities and residential communities. The company’s INFOREMER-HDï?¤ GPS System features an integrated Wi-Fi communications network and a comprehensive suite of software applications and revenue generating modules. Central to the system’s functionality are the company’s award-winning display units, which deliver the most powerful on-course advertising opportunities in the golf industry. For additional information, please visit: www.gpsindustries.com.
Forward-Looking Statements
Some statements contained in this release may be forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Editors and investors are cautioned that such forward-looking statements involve risks and uncertainties that may cause the company’s actual results to differ materially from such forward-looking statements. These risks and uncertainties include, but are not limited to, the company’s ability to generate revenues and other factors as described in the Company’s literature and filings with the Securities and Exchange Commission.
Contact:
Steve Barrett
Chief Marketing Officer
604-576-7442
steven@gpsindustries.com
Ryan Gray
Investor Relations
310-276-6743
ryan@gpsindustries.com
