January 07, 2008 06:30 ET

Etelcharge Consummates Financing Agreement With Golden Gate Investors

$1.5 Million Debenture to Assist Company in Accelerating Plans for "The New Online Way to Pay™"

DESOTO, TX--(Marketwire - January 7, 2008) - (OTCBB: ETLC), the new online way to pay™, today announced that the Company entered into a debenture agreement with Golden Gate Investors ("GGI"), a division of Golden Gate Capital, aggregating $1.5 million. Under the Purchase Agreement, GGI is required to purchase up to three additional debentures, each in the amount of $1.5 million, should all conditions of the original debenture be fulfilled. Details of the agreement were filed in a Form 8-K with the Securities and Exchange Commission on December 28, 2007.

"We are extremely pleased to have secured this financing from GGI, a group of respected investors who understand and have experience in our market space," stated Rob Howe, Chairman and CEO. "Etelcharge will now fuel our plans to bring our Web 2.0 technology national awareness, build our membership and client base, and execute our business model," Howe concluded.

Roger Wagner, member of the Board of Directors, added, "Rob Howe has changed the face of Etelcharge dramatically within the last 7 months. He and the team he recruited have finalized the technology, solidified the relationship with AT&T as the company's billing services provider, consummated strong strategic alliances, cleaned up Etelcharge's balance sheet and provided us with a future that one year ago seemed impossible. This financing will bring his diligent and unrelenting work to fruition."

About Golden Gate Capital

San Francisco-based Golden Gate Capital is a $700 million private equity firm specializing in high-growth, change-intensive buyouts, with a focus on technology-driven companies. The principals have more than 40 years of experience with an investment model that has consistently outperformed the market by stressing world-class analytics, the ability to add value, technology acumen and transaction experience. Golden Gate Capital seeks to partner with management to pursue buyouts, recapitalizations, leveraged build-ups and growth equity investments with transaction sizes ranging from $25 million to $500 million with equity requirements of up to $100 million. For more information, visit the Golden Gate Capital Web site at

About (OTCBB: ETLC), the first Web 2.0 online payment system, provides online shoppers the ability to charge approved transactions to their telephone bill. While addressing the concerns online shoppers have about identity fraud and identity theft, the Etelcharge payment option is also a perfect match for the millions of individuals without a credit card, or even a bank account. For more information, go to

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements involve a number of known and unknown risks and uncertainties that may cause, Inc. and actual results or outcomes to be materially different from those anticipated and discussed herein. These include its historical lack of profitability, limited working capital, the need for additional capital, end-use customers' acceptance of new products and actual demand, the need for, Inc. to manage its growth, and other risks associated.

Contact Information