AmbiCom Renews and Expands Line of Credit With East West Bank
MILPITAS, Calif., May 24, 2011 /PRNewswire/ -- AmbiCom Holdings, Inc. (OTCQB: ABHI), a leader in the development of wireless products for medical equipment suppliers, today announced that it has signed a new line of credit with East West Bank, renewing and expanding the credit line that was due to expire July 2011. The new line of credit expands AmbiCom's available drawdown to $1.3 million from $1.0 million in the previous revolving line and extends the line by one year to July 2012. The new facility is available for immediate drawdown and has no limitations based on the Company's accounts receivables.
"We believe our improving financial performance and robust opportunities put us in a position to obtain this extended and expanded revolving line with East West Bank, and we are pleased to continue our solid relationship with this forward-thinking financial services organization," said John Hwang, CEO and Chairman of AmbiCom. "This facility will provide us the necessary capital to support our growth initiatives over the next year as well as some of our ongoing development efforts with leading medical device manufacturer partners. We view this expanded line as a strong sign of confidence from a well-known lender like East West that the wireless and healthcare markets we focus on remain robust and intact, that our products and support are in high demand with our end customers, and that we have proven our ability to them to not only grow our business, but to grow it profitably."
AmbiCom is headquartered in Milpitas, California, and is a leading designer and developer of wireless products focusing on the wireless medical industry. The Company's wireless modules and devices are based on the Company's innovative application software for both Wi-Fi and Bluetooth technologies. AmbiCom is committed to wireless design and development of software and hardware, and to bringing new and innovative products to the wireless medical markets and other sectors. The Company plans to grow organically, and to augment that growth by selectively acquiring complementary products and technologies via acquisition opportunities deemed to be of strategic value.
This press release contains 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934. Although the forward- looking statements in this release reflect the good faith judgment of management, forward-looking statements are inherently subject to known and unknown risks and uncertainties that may cause actual results to be materially different from those discussed in these forward-looking statements including, but not limited to, our ability to maintain our website and associated computer systems, our ability generate sufficient market acceptance for our shipping products and services, our inability to generate sufficient operating cash flow, and general economic conditions. Readers are urged to carefully review and consider the various disclosures made by us in the our reports filed with the Securities and Exchange Commission, including those risks set forth in the Company's Current Report on Form 8-K filed on November 13, 2007, which attempt to advise interested parties of the risks and factors that may affect our business, financial condition, results of operation and cash flows. If one or more of these risks or uncertainties materialize, or if the underlying assumptions prove incorrect, our actual results may vary materially from those expected or projected. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. We assume no obligation to update any forward- looking statements in order to reflect any event or circumstance that may arise after the date of this release.
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SOURCE AmbiCom Holdings, Inc.