SOURCE: Oxford Media, Inc.

September 27, 2005 08:45 ET

Oxford Media Completes $4 Million Fixed Price Private Placement

IRVINE, CA -- (MARKET WIRE) -- September 27, 2005 -- Oxford Media, Inc., (OTC BB: OXMI), a creator and marketer of proprietary Video-On-Demand and pay-for-view entertainment systems offering first-run movie content and network connectivity to the hotel industry, announced today it has completed a private placement of unsecured 8% convertible preferred stock with the Palisades Master Fund LP which resulted in $4,000,000 in gross proceeds to the Company. The convertible preferred stock is convertible into shares of Oxford Media common stock at a fixed conversion price of $3.00 per share. The Company also issued warrants to purchase 400,000 shares of Oxford Media common stock at $3.50 per share. HPC Capital Management acted as placement agent.

The capital investment in Oxford is strategic in its timing as the Company has completed beta testing of its proprietary VOD/PPV system and is launching a sales and marketing campaign aimed at the small and mid-sized hotels and motels -- a segment of the hotel industry previously underserved and unable to offer such services to their guests. This targeted market of hospitality properties with between 50 to 300 rooms, comprises over 2.4 million hotel rooms in the U.S., and represents approximately 56% of the total hotel market.

The investment in Oxford will be used to facilitate the working capital needs of the Company including, but not limited to, supporting its growth and acquisition strategies and product roll-out.

This announcement does not constitute an offer to sell or a solicitation of an offer to buy securities of the company. These securities have not been registered under the Securities Act of 1933 or applicable state securities laws and may not be offered or sold in the United States or any state thereof absent registration under the Securities Act and applicable state securities laws or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.

About Oxford Media, Inc.

Oxford Media, Inc. is a leading developer of Private Broadband Networks (PBN) and proprietary software and hardware, which allows for the delivery of low-cost broadband Internet access as well as video and audio content on demand on a Pay-Per-View basis. The initial line of business is the delivery of Video-On-Demand and pay-for-view entertainment content to small and mid-sized hotels and motels -- a segment of the hotel industry previously underserved and unable to offer such services to their guests. This targeted market of hotel properties with between 50 to 300 rooms, comprises over 2.4 million hotel rooms in the U.S., and represents approximately 56% of the total hotel market. www.oxfordmediainc.com

Special Note Regarding Forward-Looking Statements: Statements in this news release about anticipated or expected future revenue or growth or expressions of future goals or objectives, including statements regarding whether current plans to grow and strengthen the Company's existing business, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All forward-looking statements in this release are based upon information available to the Company on the date of this release. Any forward-looking statements involve risks and uncertainties, including the risk that the Company will be unable to grow or strengthen its business due to a lack of capital or an inability to identify acquisition candidates and that the Company may not realize anticipated cost savings or revenue growth opportunities associated with any acquisitions, planned or otherwise. Additionally, forward-looking statements concerning the performance of the Company's business are based on current market conditions and risks, which may change as the result of certain regulatory, competitive or economic events, as well as those risks and uncertainties described in the Company's filings with the Securities and Exchange Commission, which could cause actual events or results to differ materially from the events or results described in the forward-looking statements, whether as a result of new information, future events or otherwise. Readers are cautioned not to place undue reliance on these forward-looking statements.

Contact Information

  • Contact:

    Investor Relations:

    The Del Mar Consulting Group, Inc.
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    Media Relations:

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