Helphire to reduce debt reliance; B.O.S. raises $1 million; Crdentia places stock

By Kenneth Lim

Boston, July 9 -Helphire Group plc is offering £44.96 million of shares in a private placement as the company aims to reduce dependence on debt.

B.O.S. Better Online Solutions Ltd. said it raised $1 million from a stock placement to three investors.

Crdentia Corp. placed out $1 million worth of stock in a private placement as it expanded a number of existing debt facilities.

Helphire to raise £44.96 million

Helphire said it plans to sell £44.96 million of stock through a placing and open offer.

The company arranged to sell about 40.87 million ordinary shares at 110p per share to a number of existing institutional investors.

Helphire common stock (LSE: HHR) closed at 103p on Wednesday, up by 2.49% or 2.5p.

Helphire Group plc is a Bath, England-based company that provides non-fault accident management assistance and related services.

"As Helphire's business has grown its working capital facilities have been increased to provide part of the funding for that growth" the company said in a press release.

"Helphire has facilities of £220 million in aggregate in addition to its fleet leasing facilities and these facilities provide sufficient headroom for the company's present requirements.

"As elements of the facilities fall due for renegotiation the board expects the terms available to the company to become less favorable and considers that the terms might constrain the company's strategy, particularly with regard to ownership of the vehicle fleet. The company prefers to maintain flexibility with regard to corporate strategy and is therefore raising additional equity finance in order to reduce reliance on debt facilities and to ensure compliance with the terms of its borrowings. The board expects, however, to maintain facility limits at around their present level."

Helphire chairman Rodney Baker-Bates said in the release: "As we reported on 7 July, the credit hire market is continuing to grow, Helphire is trading in line with market expectations and its prospects are good. This fundraising, which has been undertaken at a premium to the market price, demonstrates our shareholders' commitment to the company and will reduce our reliance on debt finance."

B.O.S. boosts balance sheet

B.O.S. said it is placing $1 million of its common stock to three foreign investors.

The company will sell 740,740 shares at $1.35 apiece along with 50% warrant coverage. Each warrant is exercisable for two years at $1.60.

B.O.S. common stock (Nasdaq: BOSC) closed at $1.35 on Wednesday, lower by 2.17% or $0.03.

B.O.S. said it will use the proceeds to strengthen its balance sheet.

The Teradyon, Israel-based company develops semiconductors and components used in computers and other electronics.

The three investors also nominated a director to the board of B.O.S. Guillaume Binder will replace Amir Ohad, who resigned as a director to retain the current board size.

"We are very pleased with this new investment, which will strengthen our balance sheet as we continue to implement our strategy of becoming a leading global provider of mobile and RFID solutions," B.O.S. president and chief executive Shmuel Koren said in a statement.

Crdentia sells stock

Crdentia raised $1 million from a private stock placement as the company increased it existing debt facilities.

Crdentia sold about 3.33 million shares at $0.30 apiece along with warrants for about 1.67 million shares. Each warrant is exercisable at $0.35 for five years. Crdentia common stock (OTCBB: CRDT) finished at $0.15 on Wednesday, up slightly by about 1.35%.

The company also expanded its accounts receivable-based revolving credit facility to $7.5 million from $5.2 million. A three-year term loan, comprising two tranches of $2.5 million each, was also increased to a total of $6.5 million, while warrants to purchase 8 million shares were redeemed for $2.4 million of notes.

Proceeds will be used general working capital purposes.

Dallas-based Crdentia is a health care staffing service.

"As investors are likely well-aware, today's credit market environment is quite challenging, yet the strength of our business allowed Crdentia to complete a favorable transaction for the company," Crdentia chief executive John Kaiser said in a statement.

"As we move forward with our previously announced plans to take Crdentia private, we are pleased to have completed these important financing transactions that improve the company's financial flexibility with the addition of substantial working capital and ability to grow our revolver borrowing base as the company grows.

"With this added liquidity, we will continue to work aggressively to execute our strategic growth plans to establish Crdentia as a leading full-service supplier of healthcare staffing throughout the Sun Belt region."

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