MONTREAL--(BUSINESS WIRE)--BUILDABLOCK CORP. (OTCBB: BABL), (“BABL” or the “Company”), today announced that it has completed additional sales of an aggregate of 200,000 shares of its common stock at an offering price of $0.25 per share. The offering, which is now completed, resulted in the issuance of an aggregate of 6,427,000 shares for aggregate gross proceeds of $1,463,750. Aggregate commissions were $143,675. The offering was made to a small group of sophisticated investors outside the United States in reliance on Section 4(2) of the Securities Act of 1933, as amended, and/or Regulation S promulgated thereunder. In connection with the offering, the Company issued one warrant for each share issued, for an aggregate of 6,427,000 warrants. Each warrant may be exercised at any time through August 31, 2013 at an exercise price of $0.50 per share.
The proceeds from the offering will be used to develop and commercialize the Buildablock Internet services platform as well be used for general and administrative operating expenses.
“We are pleased that we were able to raise this first round of capital that will be deployed to continue our platform engineering and hire critical development staff,” stated Mr. Gary Oberman, President and Chief Executive Officer of Buildablock. “The funding reflects the investment community’s confidence in our business model that will serve as a paradigm of consumer block buying empowered by social networking. We are continuing to attract key retail participants which will further validate our model and look to secure additional funding in advance of our 2012 beta lunch in the third quarter of 2012.”
About Buildablock Corp.
Buildablock is an Internet service platform whose mission is to act as a transactional catalyst between buyers and sellers while leveraging a growing collection of patented, sophisticated user friendly tools. Growing beyond the scope of aggregation sites or group buying catalogs, Buildablock offers consumers maximum value for their purchasing dollar by combining group buying leverage, social media interactivity and automated negotiating tools. The Company’s dashboard of buying tools and follow-on services represent a new paradigm in supply chain interaction for both retailers and consumers alike. Ease of customer acquisition and diverse, recurring revenue streams combine to return exceptional value to the shareholders of Buildablock. For more information, visit the Company's website at http://www.buildablock.com.
CAUTIONARY STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. Statements in this Press Release may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statements contained herein which are not statements of historical facts and that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future, including statements about expected future results shall be deemed to be forward-looking statements. Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events, actual results and performance, financial and otherwise, could differ materially from those set forth in or contemplated by the forward-looking statements herein. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The inclusion of any statement in this release does not constitute an admission by the Company or any other person that the events or circumstances described in such statement are material. Factors that could cause actual results to differ materially from those in forward-looking statements include, without limitation, the Company’s ability to establish technical feasibility, completing development of its Internet service platform, establishing critical strategic partnerships to promote the use of its Internet platform, successfully marketing the platform, establishing rapid visibility and adoption by our customer base and acceptance by merchants, demonstrating added value and reward that will ultimately change the behavior of our user base, responding to competitive developments and attracting, retaining and motivating qualified personnel. Additional information concerning these and other risks is described under “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company's reports on Forms 10-K, 10-Q and 8-K that the Company files with the U.S. Securities and Exchange Commission. The forward-looking statements in this press release are based on current expectations and the Company assumes no obligation to update these forward-looking statements.