SAN DIEGO - In a financial balancing act, XXsys Technologies Inc. of San Diego redeemed common stock warrants and increased shareholders' equity to maintain listing on the Nasdaq SmallCap Market in August. ``They did the warrant redemption on their own without an investment banker,'' Christina S. Kohlhaas, registered investment adviser with CSK Securities Research in Novato, Calif., said in an Aug. 21 telephone interview.
``They were not as successful as hoped because the price had dropped, but they are fine for the near-term on cash position and are starting to generate revenues,'' Kohlhaas said.
On Aug. 12, CSK issued a buy recommendation on XXsys' common stock.
XXsys said it received $501,472 from the exercise of publicly traded warrants and $10,000 from other warrants between July 11 and Aug. 14, according to a filing with the Securities and Exchange Commission on Aug. 19.
The infusion lifted stockholders' equity to $1,196,535 on a pro forma basis from $402,096 on June 30. The SmallCap Market requires that firms have stockholders' equity of more than $1 million. XXsys reported a loss of $658,278 on sales of $152,543 for the three months ending June 30. In the comparable 1995 quarter, XXsys lost $472,093 on sales of $38,441. WARRINGTON, PA. - Klearfold Inc. agreed to buy technology allowing it to silk screen holographic images onto rigid packaging and other products it makes.
The Warrington firm agreed to pay Triad Technologies Ltd. of Vancouver, British Columbia, US$268,000 and royalties for its Hologravure 3-D technology. Triad also agreed to sub-license the technology from Klearfold for its own use in areas other than North, Central and South America, China and Taiwan.
Steven Guy, Klearfold director of marketing, described his firm's core business as ``creating high visibility retail packaging'' by converting clear PVC and other plastic sheet. Guy said his company has been using Hologravure 3-D for about a year on a limited basis.
Klearfold does not extrude its own plastic sheet. Its sales are about $70 million annually.
LAKE CITY, TENN. - Mustang Manufacturing & Plastics Inc. plans to expand a second time, after only 14 months in business, said Jerry Meredith, chief executive officer.
Mustang is moving more machinery into its Lake City facility after a recent plant addition and is looking at further expansion this year, Meredith said in a telephone interview. It now has 23 reconditioned presses, including Van Dorn models with clamping forces of up to 750 tons.
Meredith said Mustang also gets quotes on building a separate tool shop with about 5,000 square feet of space. It now builds tools weighing up to 8,000 pounds in its molding plant. Meredith did not reveal costs for recent and future expansions.
Mustang is a low-cost molder with fast delivery times that allowed it to stake out a niche in consumer products and industrial markets. Meredith said customers include Rubbermaid Inc.'s office products business and Dejay Corp. of Greenville, Tenn.