November 5, 2004
Strategic Steps to Support Future
Growth for Datascension Inc.
LAS VEGAS - (BUSINESS WIRE) - Nov 5, 2004 - Datascension,
Inc., (OTCBB:DTSN); (OTCBB:DSEN) announced today that it has entered
the final phase of a major corporate reorganization. The new
structure is intended to better position the company to pursue its
future growth strategy, provide access to additional capital
markets, and potentially help the Company expand its financial
partnerships.
Share Consolidation
Effective November 5, 2004, Datascension's common stock will now be
consolidated on a ratio of one (1) share for every ten (10) shares
and trade under the new symbol (OTCBB:DSEN) and have a new CUSIP
number 238111 20 7. The reverse stock split will take place without
any action on the part of shareholders and new stock certificates
will not be issued. No fractional shares will be issued in
connection with the reverse stock split. Shareholders who would
otherwise be entitled to receive a fractional share because they
hold a number of shares of common stock that is not evenly divisible
by 10 will have the number of new shares to which they are entitled
rounded to the nearest whole number of shares. The consolidation
will reduce the number of Datascension shares outstanding from
approximately 162 million to approximately 16.2 million.
The Company also believes the consolidation could assist other
corporate purposes, which may include issuing shares of common stock
in connection with business relationships, strategic alliances,
acquisitions or other corporate partnering programs, and issuing
shares of common stock to raise working capital for ongoing
operations to support the tremendous growth the company is
experiencing.
"We are confident that this action is in the long-term interests of
our current shareholders, increases our appeal to a broad range of
investors, and puts our company in a more advantageous position to
consider financing opportunities," said Jason Griffith, Chief
Financial Officer. "The reverse split is a key piece of our broad
strategic plan and allows us to move forward on a number of
initiatives, including our capital raising efforts, by providing
shares for issuance and increasing our stock price, which we believe
will allow us to attract new investors," said Murray Conradie,
Chairman and Chief Executive Officer of Datascension, Inc.
Along with the reverse stock split and the recent amendment to the
Company's bylaws, the shares are again an NSCC Eligible Security
(National Securities Clearing Corporation).
Dividend
The Company previously announced that the board of directors was
considering a spin-off of its wholly owned subsidiary, Datascension
International Inc. ("the subsidiary"), with operations in
California, Costa Rica and the Dominican Republic, whereby each
stockholder would receive one share of the subsidiary's common stock
for each 60 shares of common stock of Datascension Inc. owned. This
dividend amount is to be adjusted to a post reverse dividend of one
share of the subsidiary's common stock for each 6 shares of common
stock of Datascension Inc. owned on the record date of the dividend.
The company proposes to eventually distribute 83.59% of the issued
and outstanding shares of the subsidiary's common stock, pro rata,
to all of its stockholders of record of Datascension Inc. In order
to be eligible to receive the dividend shares, shareholders need to
be bona fide shareholders in Datascension Inc. as of the record date
of the dividends..
This press release shall not constitute an offer to sell or
solicitation of an offer to buy any securities.
About Datascension International
Datascension International, a premier data solutions company with
operations in California, Costa Rica and the Dominican Republic,
embodies a unique expertise in the collection, storage, processing
and interpretation of marketing data. Employing hundreds of
bilingual professionals, the company is rapidly becoming one of the
largest Spanish-speaking call centers. The company's commitment to
customer service, quality and on-time project management has
fostered its world-class reputation among major market research
firms and corporate market research departments.
Safe Harbor Statement under the Private Securities Litigation Reform
Act of 1995: Certain statements made in this press release contain
certain forward-looking statements that involve a number of risks
and uncertainties. In addition to the matters described above, the
company's ability to initiate and complete the contemplated
transactions described above will depend upon a number of factors
including overall economic conditions, general stock market
conditions and the continuing results of the company, as well as the
risk factors listed from time to time in the SEC filings of
Datascension Inc..
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