SAN DIEGO, Nov. 16, 2020 /PRNewswire/ -- ImageWare® Systems, Inc. (OTCQB: IWSY), a leader in biometric identification and authentication, today announced that it has closed a $11.56 million private placement of Series D Convertible Preferred Stock. The Company also announced the simultaneous restructuring of certain of its outstanding Preferred Stock and its Board of Directors, leaving Kristin A. Taylor, President and CEO, on the Board and appointing James (Jim) M. Demitrieus and Benjamin (Ben) Smeal effective immediately. Taylor has also been appointed Chair of the Board.
Series D Preferred
This financing was anchored by funds and accounts managed by Nantahala Capital Management, LLC, based in New Canaan, Connecticut. It also included participants comprised of institutional investors and existing accredited investors. In connection with the financing, the Company amended and restated certain of its issued and outstanding series of Preferred Stock intended to facilitate the financing and to simplify the Company's capital structure.
Proceeds from the financing will be used for general corporate and working capital purposes.
Further details regarding the financing and restructuring of certain of the Company's issued and outstanding Preferred Stock is described in the Form 8-K to be filed with the Securities and Exchange Commission by the Company and the information herein is qualified in its entirety by the Current Report on Form 8-K to be filed.
The closing of the Series D Preferred financing marks the beginning of many proposed pivotal changes intended to increase shareholder value, including:
New Board Members
Taylor continued, "Jim brings to ImageWare knowledge and experience in the field of biometrics, in addition to extensive Fortune 1000 plus start up leadership, go-to-market, finance and accounting skills. We look forward to his valuable insights, particularly as we accelerate the monetization our product offerings and intellectual property.
"Ben's capital market expertise, coupled with his substantial experience working with undervalued companies and his ability to ask difficult questions, will help to guide our efforts and further position us for growth as we progress to deliver on our business plan and continue to build value for our shareholders."
Added Taylor, "With the world quickly evolving to remote work and contactless interactions, the time for biometrics is now. Whether its community banks onboarding new customers, enterprises hiring remote workers, or healthcare facilities checking in patients, only biometrics can provide complete identity assurance in a remote, contactless manner.
"ImageWare is at the nexus of this new world, providing an open platform that integrates multiple biometrics types across different vendors and hardware platforms - offering the most flexible and cost-efficient solution for organizations to manage biometric identity lifecycles at scale. With our new team and renewed strategy, ImageWare is positioned to execute and will drive these solutions across government, financial, transportation, education, and telecommunications sectors to deliver profit," Taylor concluded.
About ImageWare® Systems, Inc.
Founded in 1987, ImageWare provides defense-grade biometric identification and authentication for access to your data, products, services or facilities. We are experts in biometric authentication and considered a preeminent patent holder of multimodal IP, having many of the most-cited patents in the industry. Our patented IWS Biometric Engine® (BE) is the most accurate and fastest biometrics matching engine in the industry, capable of our patented fusion of multiple biometrics. Part of our heritage is in law enforcement having built the first statewide digital booking platform for United States local law enforcement - and more than three decades of experience in the challenging government sector creating biometric smart cards and logical access for millions of individuals. We are a "biometrics first" company, leveraging your unique human characteristics to provide unparalleled accuracy to identify you while protecting your identity. Please visit www.iwsinc.com.
Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "if," "should" and "will" and similar expressions as they relate to ImageWare Systems, Inc. are intended to identify such forward-looking statements. ImageWare may from time to time update publicly announced projections, but it is not obligated to do so. Any projections of future results of operations should not be construed in any manner as a guarantee that such results will in fact occur. These projections are subject to change and could differ materially from final reported results. For a discussion of such risks and uncertainties, see "Risk Factors" in ImageWare's Annual Report on Form 10-K for the fiscal year ended December 31, 2019 and its other reports filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made.
Terri MacInnis, VP of IR
ImageWare Systems, Inc.
Bibicoff + MacInnis, Inc.
(818) 379-8500 x2
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SOURCE ImageWare Systems, Inc.