DALLAS, Jan. 9, 2006 (PRIMEZONE) -- IElement Corporation (OTCBB:IELM) (Frankfurt:SZQ1), a nationwide provider of advanced communications services and Voice over Internet Protocol (VoIP) solutions, announced today that it has completed a private placement in the amount of $1,579,375 with warrants that would bring in an additional $2,256,250 if all warrants are exercised. The placement was conducted as a "Unit Offering" with each $17,500 Unit consisting of 500,000 shares of common stock and warrants to purchase another 250,000 shares at ten cents per share.
IElement originally sought to raise $560,000 in the placement but increased the offering to ensure the company could meet more long-term goals. Ivan Zweig, IElement's CEO, said, "We expect that the funding will enable us to expand our footprint and product offerings as well as gain market share. At the same time, our customers will be able to rely on us for the state-of-the-art telecommunications solutions, consultative approach and personalized customer service that they have enjoyed for years."
IElement intends to use the proceeds to bolster its sales presence in its current markets while pushing into new ones, add to its growing stable of product offerings and pursue the acquisition of complimentary businesses. The company will also upgrade certain network equipment to better accommodate the rapid growth expected in the VoIP sector.
About IElement Corporation
IElement is a facilities-based nationwide communications service provider that provides state-of-the-art telecommunications services to small and medium sized businesses ("SMBs"). IElement provides broadband data, voice and wireless services by offering integrated T-1 lines as well as a Layer 2 Private Network and VOIP solutions. These solutions provide SMBs with dedicated Internet access, customizable business solutions for voice, data, wireless, Internet, and secure communications channels between the SMB offices, partners, vendors, customers and employees without the use of a firewall or encryption device. IElement has a network presence in 18 major markets in the United States, including facilities in Los Angeles, Dallas, and Chicago.
The IElement Corporation logo can be found at: http://www.primezone.com/newsroom/prs/?pkgid=2233
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For more information on IElement, please visit www.ielement.com