UPLAND, Calif., Feb. 2, 2005 (PRIMEZONE) -- Healthcare Business Services Groups, Inc. (OTCBB:HBSV) today announced that it has secured $350,000 in equity financing from a former client via a private offering. The funds of the proceeds will be used for operations and for the development of the company's surgery center business segment.
While official terms of the investment were not disclosed, financing was done through a private placement memorandum. The company also noted that additional financing via private offerings were nearing completion and would be announced shortly. The company is confident that the financing previously committed and already secured should provide sufficient working capital to effectively execute the company's business model over the next 12 months.
"Obtaining financing from a former client is a strong testimonial to the credibility and viability of our business model," noted Chandana Basu, CEO of HBSGI. "When any party that is involved with your organization makes a financial investment into the company, it certainly speaks highly for the direction we are moving in. Additionally, with other financing opportunities on the table, our shareholders should feel confident in our ability to have ample cash on hand to operate and to grow the business."
About Healthcare Business Services Groups, Inc.
Healthcare Business Services Groups, Inc. or HBSGI (OTCBB:HBSV) is a provider of full-service medical billing services and solutions and operator of surgery centers. The company provides traditional, customized medical billing services and support to physicians, providers, and healthcare facilities across the nation. In addition to its core medical billing services, HBSGI offers a comprehensive, full-service medical billing software product, AutoMed, Inc., that is the only fully automated product on the market. HBSGI also plans to develop and operate surgical centers in the primary geographic markets it provides medical billing services to provide a full-service, low cost surgical center option to physicians and providers. HBSGI has completed architectural and engineering plans for its first surgical center, has retained a general contractor, and acquired the financing to begin development.
For More Information: Krishnaswamy Alladi, COO Healthcare Business Services Groups, Inc. (OTC BB: HBSV) 1126 W. Foothill Blvd, Suite 105 Upland, CA 91786 (909) 608-2035 kalladi@hbsgi.com www.thenewhbsgi.com
Forward-Looking Statements
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