SOURCE: OmniComm Systems, Inc.

March 12, 2007 09:27 ET

OmniComm Systems, Inc. Raises Financing of $3.4 Million and Announces Conversion of Debt

EDC Solution Provider Continues to Build the Company and Operating Infrastructure to Meet Significant Growth

FORT LAUDERDALE, FL -- (MARKET WIRE) -- March 12, 2007 -- OmniComm Systems, Inc. (OTCBB: OMCM), one of the fastest growing companies in the EDC marketplace, announced that it has completed a $3.4 million equity private placement. Noesis Capital Corp. of Boca Raton, Florida acted as placement agent. The Company also announced that, on December 31, 2006, it had reached an agreement with certain long-term investors, including Cornelis F. Wit, President, CEO and a Director, and Guus van Kesteren, a Director, to convert the amount of certain promissory notes and accrued interest totaling approximately $3.2 million into shares of common stock in the Company.

The Company sold an aggregate of approximately 6.8 million shares of the Company's common stock at a purchase price of $0.50 per share in a private placement. The promissory notes were converted at a conversion price of $0.50 per share resulting in the issuance of approximately 6.4 million shares (approximately 9.1% of the issued and outstanding shares) in the Company at the time of the conversion.

"This private placement funding will allow us to expand our operations in both the U.S. and overseas to meet with the rapid growth that we have been experiencing over the last six months," said Cornelis F. Wit, CEO of OmniComm Systems, Inc. "We are now in a better position to globally support our clients' demands for traditional hosted ASP trial services and to offer a phased approach for clients that want to bring our EDC solution in-house."

Ronald T. Linares, CFO of OmniComm, added, "The capital raised in this transaction and the reduction of short and long term liabilities of the Company through the conversion of the debt at year-end 2006 provide us with a strong financial structure from which to build our business and enhanced flexibility for funding and operating our future growth. Two of our primary strategic objectives during 2006 were to continue building the corporate and operating infrastructure required for significant growth in the near-term and to solidify our balance sheet by improving our capital structure and working capital positions. We feel very strongly that these transactions are an important part of accomplishing those objectives."

About OmniComm

OmniComm Systems, Inc. (www.omnicomm.com) provides customer driven web-based solutions to pharmaceutical, biotechnology, research and medical device organizations that conduct life changing clinical trial research. OmniComm's growing base of satisfied customers is a direct result of the company's commitment to deliver products and services that ensure ease of use, faster study build, ease of integration and better performance. OmniComm's intuitive pricing model allows companies that range from small to mid-size to large scale institutions to safely and efficiently capitalize on their clinical research investments.

OmniComm is ranked in the top 150 as one of the fastest revenue growth technology companies in North America during the last 5 years. In a market overview titled "The Promise of Next-Gen eClinical Trial Software" by Forrester Research; OmniComm was given the highest rating among its competitors for industry middleware. OmniComm Systems, Inc. has corporate headquarters in Ft. Lauderdale, Florida with offices in California, Maryland, New York, North Carolina and Texas.

Safe Harbor Disclaimer

Statements about OmniComm's future expectations, including without limitation, future revenues and earnings, plans and objectives for the future operations, future agreements, future economic performance, operations and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. OmniComm intends that such forward-looking statements be subject to the Safe Harbors created thereby. Since these statements involve risks and uncertainties, including but not limited to economic competitive, governmental, contractual and technological factors affecting OmniComm's operations, markets and profitability, actual results could differ materially and adversely from the expected results.

Contact Information

  • CONTACT:
    Lizanne Kelley
    OmniComm Systems, Inc.
    954-473-1254 Extension 283
    Email Contact