SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: June 3, 1997
(Date of earliest event reported)
AMNEX, INC.
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(Exact name of Registrant as specified in charter)
New York 0-17158 11-2790221
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(State or other jurisdiction (Commission File No.) (IRS Employer
of incorporation) Identification Number)
101 Park Avenue, New York, New York 10178
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (212) 867-0166
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Item 5. Other Events.
On June 3, 1997, the Company borrowed $2,000,000 for working capital
purposes from an irrevocable trust established by Francesco Galesi (the "Galesi
Trust"). Mr. Galesi is a director of the Company. The promissory note evidencing
the loan (the "Note") provides for interest at the rate of 10% per annum and the
payment of the principal amount thereof within 15 days following receipt of
demand for payment. The Company's repayment obligation is secured by a security
interest in certain accounts receivable of certain of its subsidiaries.
In consideration for the loan, the Company granted to the Galesi Trust a
warrant for the purchase of 500,000 common shares of the Company ("Common
Shares") at an exercise price of $2.3125 per share, such warrant being
exercisable during the period commencing on June 3, 1999 and expiring on June 3,
2007. In the event the Note is not paid timely, the Company will be obligated to
issue to the Galesi Trust an additional like warrant for the purchase of 100,000
Common Shares.
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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 hereunto duly authorized.
AMNEX, INC.
Dated: July 2, 1997 By: /s/ Alan J. Rossi
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Alan J. Rossi
Chairman of the Board
