SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Issuer
PURSUANT to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
Press Release dated August 17, 1999
Alexa Ventures Inc.
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(Exact name of Registrant)
818 Erie St. Stratford, ON N4Z 1A2
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(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F
Form 20-F |X| Form 40-F |_|
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes |X| No |_|
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Alexa Ventures Inc.
Date: August 17, 1999 /s/ Gerry A. Racicot
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Mr. Gerry A. Racicot
President
ALEXA
VENTURES INC.
PRESS RELEASE
August 17, 1999
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TSE:AXA
OTC BB:ALVEF
ALEXA VENTURES REPORTS PLANS TO ROLL ITS LEXATEC SUBSIDIARY INTO
EIGER LABS ON DEAL COMPLETION.
STRATFORD, ONTARIO, CANADA, AUGUST 17, 1999--Gerry Racicot, President of Alexa
Ventures Inc., (ALEXA), a leading computer and energy-efficiency electronic
products company, reported continued growth and plans to further consolidate its
structure by incorporating its Lexatec subsidiary into the Eiger Labs operation
on completion of the acquisition.
"Once again, Alexa Ventures Inc. is pleased to announce continued financial
capital growth and implementation of its growth strategy through careful
acquisition," said Racicot.
On July 10, 1999, Alexa entered into a letter of intent to purchase 64% of Eiger
Labs Inc. and 64% of its manufacturing company Point Multimedia Systems Inc.
Eiger Labs is a distributor of fax/modems Ethernet, PNA and MP3 players in the
USA, operating out of the Silicon Valley. Point Multimedia Systems (POINT) is
based in South Korea and is a circuit board assembler and distributor of
electronic products. Point manufactures fax/modems, PNA, PCMCIA and other
products for both Eiger and Point also distributes in South Korea.
"Eiger is #2 in the US PCMCIA modem retail market with a 14 % market share and
strong relationships with major retailers including Comp USA, Best Buy, Computer
City, Ingram-Micro, Micro Centre & others," said Racicot.
"Overall sales decreased during the quarter from $16,413,000 to $7,426,000 due
to the re-organization of Lexatec VR Systems, Inc., and by the elimination of
lower margin high risk sales. It is anticipated that Lexatec's revenue will be
enhanced by the Eiger aquisition,with more profitable revenue growth being
expected to ensue in the future months. Net loss for the period of $66,000 vis a
vis a profit of $71,000 recognizes the cost of raising capital and the lack of
business being done prior to the equity financing and the consequence of the
lack of capital.
"The balance sheet has been strengthened with cash increasing by $2,050,000, the
inventory and accounts receivable reducing by $3,296,000, the debt has reduced
by $4,546,000, share capital increasing by $5,000,000 and shareholder equity
increased to 8,033,000 from 2,674,000 " continued Racicot.
K-Troniks International Corp. (K-Tronik) is enjoying increased sales with
monthly sales increases resulting in a profit of $25,000 in June. Sales are
expected to increase substantially over the next 12 months.
"Alexa has never been stronger, both financially and operationally. We look
forward to a future growth and prosperity from our diligence and hard work,"
concluded Racicot.
DIRECTORS OF ALEXA VENTURES INC.:
G.A. Racicot
Chief Executive Officer
THIS PRESS RELEASE WAS PREPARED BY THE MANAGEMENT OF THE COMPANY WHO TAKE FULL
RESPONSIBILITY FOR ITS CONTENTS. THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND
DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
818 Erie St.
Stratford, Ontario N4Z 1A2
Tel: (519) 273-0503 Fax: (519) 273-1684 Tor. Tel: (905) 454-8880
