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 (Date of earliest event reported) June 10, 1996
Direct Connect International Inc.
(Exact name of registrant as specified in its charter)
Delaware 0-18288 22-2705223
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
266 Harristown Road, Glen Rock, New Jersey 07452
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (201) 445-2101
700 Godwin Avenue, Midland Park, New Jersey 07432
(Former name or former address, if changed since last report)
<PAGE>
Item 5. Other Events
On June 10, 1996, the Company sold (at $9.00 per share) 115,000 shares of common
stock of Glasgal Communications, Inc. (GCI) held by the Company in its margin
account established with the brokerage firm of Cowen and Company in New York.
The Company received net proceeds from such sale aggregating approximately
$1,000,000. The Company used approximately one-half of the proceeds to pay off
its margin loan of approximately $500,000. After payment of certain obligations
approximating $28,000, the Company used the balance of such proceeds to make an
equity investment in common stock, at $2.50 per share, and warrants to purchase
common stock, exercisable at $3.50 per share, of Evolutions, Inc. (EVO), a toy
and wearing apparel company, for which the Company is managing a toy product
line under a management contract, rather than entering into a proposed lending
arrangement with EVO. The Company also intends to make an additional equity
investment in EVO of approximately $1,300,000 on the same terms, which will
include the transfer by DCI of 106,667 shares of GCI common stock held by DCI,
valued at approximately $800,000, in common stock and warrants to purchase
common stock. As an inducement for such investments, the Company will receive
additional warrants to purchase 400,000 additional shares of EVO common stock
exercisable at $2.50 per share.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
Financial Statements: Not applicable
Pro Forma Financial Information: Not applicable
Exhibits: None
<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 hereunto duly authorized.
DIRECT CONNECT INTERNATIONAL INC.
(Registrant)
Date June 24, 1996 By /s/ Peter L. Schneider
Peter L. Schneider
President and Chief
Operating Officer
