Cover-All Technologies Inc., a Delaware Corporation, announced that on June 28, 2001, it raised $1.8 million through a private placement of 8 percent convertible debentures with investors headed by the Renaissance Capital Group of Dallas, Texas.
According to Cover-All Technologies, an aggregate of $1,400,000 has been sold to Renaissance US Growth and Income Trust PLC (Traded on the London Stock Exchange) and BFS US Special Opportunities Trust PLC, which are managed by Renaissance. Also, an aggregate of $400,000 has been sold to three other private investors including John Roblin, chairman of the board, president and CEO of the company.
Immediately upon its receipt of the funds, the Cover-All used $1,650,000 of the proceeds to fully settle its $3,000,000 principal amount 12.5 percent convertible debentures, due in 2002. The remainder of the funds raised from the transaction will be used for working capital purposes. The new debentures, maturing in 2008, are convertible into shares of Cover-All’s common stock, $.01 par value per share, initially at $0.50 per share, subject to adjustment in accordance with the terms of the parties’ respective loan agreements.
Cover-All also announced that Russell Cleveland, president of Renaissance Capital Group Inc., has been named to the board of directors of the company.
Cover-All Technologies Inc. specializes in providing Internet-enabled strategic policy and premium software solutions in the property /casualty insurance industry.