NEW YORK & LOS ANGELES--(BUSINESS WIRE)--Wizard World, Inc. (OTCBB:WIZD) (the “Company”) announced today the conversion of all of the Company’s Series A Cumulative Convertible Preferred Stock (the “Preferred Stock”) into 9,525,248 shares of the Company’s common stock. In addition, the Company’s warrantholders exchanged all outstanding common stock purchase warrants for 7,987,544 shares of common stock. The end result of the above transactions significantly simplifies the Company’s balance sheet. As of today, the Company will have approximately 51.1 million shares of common stock outstanding. CEO John Macaluso stated, “Through the continued positive performance of the Company and this recent vote of confidence by our shareholders, Wizard World will no longer have a derivative liability on its balance sheet. The removal of the derivative liability not only strengthens the Wizard World balance sheet, but also allows the company to further appeal to new shareholders. Investors will now be able to judge the Company upon its results and successive quarters of sequential growth, along with cash flow positive generation. With the conversion of the Preferred Stock into shares of common stock, the Company’s shareholders have removed any further share dilution from the former Preferred Stock and have increased shareholder equity dramatically.”
The Company’s derivative liability at the quarter ended June 30, 2013 was $6,373,141. With the retirement of this liability, the Company’s total assets will, for the first time, exceed its liabilities. In addition, as recently announced in its results for the period ended June 30, 2013, the Company showed an increase in its net cash position from $1,957,060 as of December 31, 2012 to $2,170,685 as of June 30, 2013.
In addition, we encourage our shareholders to view our full Company filings, which can be found on http://www.sec.gov.
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve certain risks and uncertainties. The actual results or outcomes of Wizard World, Inc. may differ materially from those anticipated. Although Wizard World, Inc. believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any such assumptions could prove to be inaccurate. Therefore, Wizard World, Inc. can provide no assurance that any of the forward-looking statements contained in this letter will prove to be accurate.
In light of the significant uncertainties and risks inherent in the forward-looking statements included in this letter, such information should not be regarded as a representation by Wizard World, Inc. that its objectives or plans will be achieved. Included in these uncertainties and risks are, among other things, fluctuations in operating results, general economic conditions, uncertainty regarding the results of certain legal proceedings and competition. Forward-looking statements consist of statements other than a recitation of historical fact and can be identified by the use of forward-looking terminology such as “may,” “intend,” “expect,” “will,” “anticipate,” “estimate” or “continue” or the negatives thereof or other variations thereon or comparable terminology. Because they are forward-looking, such statements should be evaluated in light of important risk factors and uncertainties. These risk factors and uncertainties are more fully described in Wizard World, Inc.’s most recent Annual and Quarterly Reports filed with the Securities and Exchange Commission, including under the heading entitled “Risk Factors.” Wizard World, Inc. does not undertake an obligation to update publicly any of its forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.