SOURCE: GAWK, Inc.

GAWK, Inc.

April 01, 2015 09:00 ET

GAWK Receives $5,000,000 Commitment From Southridge Advisors II

LOS ANGELES, CA--(Marketwired - Apr 1, 2015) - GAWK Inc. (OTC PINK: GAWK) announced today that it has signed a letter of intent (LOI) with Southridge Advisors II, LLC, an institutional investor, providing for an equity purchase agreement (EPA) in the amount of $5 million, which will create significant growth capital for GAWK, enabling the execution of its business plan, on favorable terms.

Under terms of the LOI, GAWK has the right, but not the obligation to sell, from time to time, up to $5 million of its common stock to Southridge, in an amount that the company determines.

Scott Kettle, CEO of GAWK, Inc., said, "With the acquisition of NET D announced this past Monday, we intend to use this new infusion of cash from Southridge to implement our business plan to continue to roll up data centers and other strategic businesses within the cloud computing and Voice over IP sector across the United States. We are talking to 11 proprietors from the Mid-West to the East Coast, and expect to announce additional LOI's shortly."

"The company's business plans provided us with the confidence necessary to provide growth capital. We are excited to partner with GAWK and its seasoned management team as they execute their strategy," commented Stephen Hicks, Principal and CEO of Southridge Advisors II, LLC.

The Company previously stated that it planned to offer the major Telco's' additional storage space, allowing the major companies to continue to expand their wireless business. The rapid growth in wireless use creates massive and growing amounts of data, which may become a problem for the global telecommunications companies in the U.S., Europe and Asia. GAWK believes it may have a solution by becoming one of the largest storage sites for data.

About GAWK, Inc.
Gawk Incorporated is a world innovator of digital Internet-related technology designed to meet the needs of modern consumers, businesses and enterprises globally. www.gawkinc.com

About Southridge
Southridge is a diversified financial holdings company that specializes in funding and advising small cap and growth companies in the public markets. Since 1996, the structured finance team at Southridge has made direct investments of over $1.75 Billion in over 300 companies globally. Southridge advises small public companies on a wide variety of corporate issues from the process of becoming a public company, to individualized financing techniques, to optimized balance sheet management. For further information about Southridge, please visit www.southridge.com

Forward-Looking Statements
All statements in this release that are not strictly historical facts are "forward-looking statements." Such forward-looking statements are based on GAWK's current assumptions, beliefs and expectations, and involve risks, uncertainties and other factors that may cause GAWK's actual results to be materially different from any results expressed or implied by such forward-looking statements. Some can be identified by the use of words such as "expect," "plan," "possibility," "offer," "if," "negotiate," "when," "believe," "will," "estimate," "continue," and similar expressions. Risks, uncertainties, and other factors that could cause or contribute to such differences include, but are not limited to: ongoing and future intellectual property enforcement actions; the ability to successfully litigate or settle claims of patent infringement; GAWK's ability to obtain necessary financing, generate sufficient cash flow, and maintain appropriate indebtedness; and the increasing development of market competition in the area of telecommunications. These factors and others are described in more detail in GAWK's public filings with the Securities and Exchange Commission, including the risks discussed in the "Risk Factors" section in GAWK's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Copies of these reports can be found on GAWK's website (http://gawkinc.com) under the heading "Investor Relations." GAWK is providing this information as of the date of this release and, except as required by law, does not undertake any obligation to update any forward-looking statements contained herein as a result of new information, future events or otherwise.

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