Harris & Harris Group, Inc. is pleased to announce that it has been informed by the Subscription Agent for its Transferable Rights Offering that, by preliminary count, subject to final confirmation, 2,634,614 shares of its Common Stock were subscribed. The Rights Offering expired at the close of business on July 26, 2002.
Commenting on the Rights Offering, Charles E. Harris, Chairman and Chief Executive Officer, stated, "The Rights Offering, which was originally filed on April 26, 2002, did not become effective until June 28, 2002, just as the long stock market decline began to degenerate into a collapse. This successful Rights Offering came right in the teeth of these extraordinarily adverse market conditions. Moreover, to maximize the net proceeds to the Company, we did not use an underwriter or sales agent. Thus, we can only interpret this successful Rights Offering as strong testimony to our shareholders' desire to put money to work through the Company in tiny-technology enabled investments. We certainly thank our fellow shareholders for their support."
Harris & Harris Group is a publicly traded venture capital company that intends to concentrate its future investments exclusively in tiny technology, including nanotechnology, microsystems and microelectromechanical systems (MEMS). At this year's Annual Meeting, shareholders will be asked to change the name of the Company to Tiny Technology Venture Capital, Inc. In 1994, we invested in our first tiny-technology company, Nanophase Technologies Corporation, a spinoff from Argonne National Laboratory, which completed an initial public offering in 1997. We sold our interest in Nanophase in 2001 and invested part of the proceeds of the sale in August, 2001, in privately held Nantero, Inc., a Harvard University spinoff developing advanced semiconductors using nanotechnology. On February 12, 2002, we invested in Nanopharma Corp., a Massachusetts General Hospital spinoff founded to develop advanced drug delivery systems. On March 7, 2002, we invested in NanoOpto Corp. which is applying proprietary nano-optics and nano-manufacturing technology to design and make components for optical networking. On March 8, 2002, we invested in NeoPhotonics Corporation, a privately held company which is developing patented technology to enable the manufacture of unique nanoscale optical compositions for the telecommunications industry. On May 3, 2002, we invested in Nanotechnologies, Inc., a privately held company that develops a wide variety of high-performance nanomaterials for industry. On June 14, 2002 we invested in Optiva, Inc., which is developing and commercializing a new class of nanomaterials for advanced optical applications initially for the flat panel display industry. On June 24, 2002, we invested in Continuum Photonics, Inc., which is developing a family of unique optical networking subsystems.
Harris & Harris Group, Inc. is a Business Development Company with 8,864,231 Common Shares outstanding. If all of the Common Shares subscribed in the Rights Offering were issued, there would be approximately 11,498,845 Common Shares outstanding.
Detailed information about Harris & Harris Group, Inc. and its holdings can be found on its website at http://www.hhgp.com.
This press release may contain statements of a forward-looking nature relating to future events. Statements contained in this press release that are forward looking statements are intended to be made pursuant to the Safe Harbor Provisions for the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. These statements reflect the Company's current beliefs, and a number of important factors could cause actual results to differ materially from those expressed in this press release. Please see the Company's Annual Report on Form 10-K and recent Prospectus filed with the Securities and Exchange Commission for a more detailed discussion of the risks and uncertainties associated with the Company's business, including but not limited to the risks and uncertainties associated with venture capital investing and other significant factors that could affect the Company's actual results. Except as otherwise required by Federal securities laws, Harris & Harris Group, Inc. undertakes no obligation to update or revise these forward-looking statements to reflect new events or uncertainties.