LiveDeal, Inc. (NASDAQ:
), which provides Internet-based local customer acquisition services and related products for small local businesses to extend their marketing reach, today announced that five unaffiliated investors purchased equity for an aggregate cash purchase price of $2.0 million. The Company issued a total of 1,612,899 new shares of its common stock in connection with the transaction at a price of $1.24 per share, which was equal to the closing bid price of the common stock as reported on NASDAQ on the date of the transaction.
Kevin Hall, LiveDeal CEO, said, “We are extremely pleased to welcome our new investors to LiveDeal, Inc. We look forward to a long and profitable working relationship. Our new investors bring impressive skills and experience in formulating viable business strategies and building profitable businesses.”
Jon Isaac, President and CEO of Isaac Organization, the lead investor, added, “We look forward to working with the management team and the Board in building a sustainable, high growth business to create value for LiveDeal’s shareholders.”
As previously announced, on October 19, 2011, the Company received notice that the NASDAQ Listing Qualifications Panel (the “Panel”) granted the Company’s request for continued listing on NASDAQ, subject to, among other things, the Company’s demonstration of compliance with the applicable minimum stockholders’ equity requirement of $2.5 million by November 30, 2011. Pursuant to the Company’s request, the Panel subsequently granted the Company an extension within which to evidence compliance with the terms of the Panel’s decision, through December 12, 2011. As a result of the recent financing, the Company believes that its stockholders’ equity exceeds the NASDAQ requirement of $2.5 million for continued listing on The NASDAQ Capital Market. The Company is awaiting NASDAQ’s confirmation of its compliance status.
About LiveDeal, Inc.
LiveDeal, Inc. provides local customer acquisition services and related products for small businesses to deliver an affordable way for businesses to extend their marketing reach to target customers via the Internet.