SOURCE: Majesco Entertainment

Majesco Entertainment

October 02, 2015 08:00 ET

Majesco Entertainment Names Barry Honig Chief Executive Officer and Closes on Funds Held in Escrow

Appoints John Stetson as Executive Vice President and Chief Financial Officer; Appoints Barry Honig and Michael Brauser as Co-Chairmen of the Board of Directors; Edward Karr and Andrew Kaplan Named Directors

SOUTH PLAINFIELD, NJ--(Marketwired - Oct 2, 2015) - Majesco Entertainment Co (NASDAQ: COOL), an innovative provider of downloadable games for the mass market, today announced the appointment of Barry Honig as its new Chief Executive Officer and Co-Chairman of its Board of Directors. Majesco also announced that it has closed on $9,040,000 previously held in an escrow account from prior subscription agreements with investors. 

John Stetson was named as Executive Vice President and Chief Financial Officer, while Michael Brauser joins Mr. Honig as Co-Chairman of the Board of Directors. In addition, Edward Karr and Andrew Kaplan were appointed as Directors. The Company has also determined that Mr. Brauser, Mr. Karr, and Mr. Kaplan will qualify as Independent Directors within the meaning of NASDAQ Rule 5605(a)(2). As a result, the Company believes it has regained compliance with NASDAQ Rule 5605(c)(2)(A).

"With Majesco's further enhanced strong balance sheet and reduced cost structure, I believe now is an opportune time to lead the Company with total focus on creating value for shareholders," stated Mr. Honig, CEO and Co-Chairman. 

Mr. Honig is a private investor and a specialist in corporate finance. He was a former founder and Co-Chairman of interClick, which sold to Yahoo in 2011 for $280 million. Mr. Honig was also the former Co-Chairman of ChromaDex Corporation (CDXC), and is a current Director and the largest investor in Pershing Gold Corporation (PGLC). 

Majesco also announced an Exchange Agreement for its outstanding Series C Warrants. The Company authorized the issuance of .4 shares of common stock for each 1 share of common stock into which the Series C Warrants was then convertible, in exchange for cancellation of the Warrants. Each holder of the Series C Warrants may also elect to receive shares of the Company's newly designated 0% Series D Preferred Stock.

About Majesco Entertainment Company
Majesco Entertainment Company is an innovative developer, marketer, publisher and distributor of interactive entertainment for consumers around the world. Building on more than 25 years of operating history, the company develops and publishes a wide range of video games on console, handheld and mobile platforms, as well as digital networks through its Midnight City label. Majesco is headquartered in Plainfield, NJ and the company's shares are traded on the Nasdaq Stock Market under the symbol: COOL. More info can be found online at majescoent.com or on Twitter at twitter.com/majesco.

Safe Harbor
Some statements set forth in this release contain forward-looking statements that are subject to change. Examples of forward-looking statements include statements relating to industry prospects, our future economic performance including anticipated revenues and expenditures, results of operations or financial position, and other financial items, our business plans and objectives, including our intended product releases, and may include certain assumptions that underlie forward-looking statements. Statements including words such as "anticipate," "believe," "estimate" or "expect" and statements in the future tense are forward-looking statements. These statements are subject to business and economic risk and reflect management's current expectations, and involve subjects that are inherently uncertain and difficult to predict. The risks and uncertainties which could cause our results to differ materially from our expectations and plans are included in our risk factors described in our filings with the SEC, including our Annual Report on Form 10-K. The Company does not undertake, and specifically disclaims any obligation, to release publicly the results of any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.