HOUSTON, June 29, 2004 (PRIMEZONE) -- GK Intelligent Systems, Inc. (OTCBB:GKIG), an entertainment and technology company, announced today that it has signed a $10 million equity line with Boston-based Dutchess Private Equities Fund II, LP. Under the terms of the agreement, GK may elect to receive as much as $10 million from Dutchess in common stock purchases over the next two years.
The financing supplied by Dutchess secures GK's ability to continue funding the business development of their subsidiaries and also, with an eye toward additional acquisitions. The Company believes with this agreement, its value as an entertainment and technology company will increase significantly while simultaneously increasing shareholder value.
Gary Kimmons, President and CEO of GK Intelligent Systems, comments, "In seeking the right financial partner, we are highly impressed with the track record of Dutchess Private Equities Fund II, LP. This financing is an important step for GK Intelligent Systems because it enables us to strengthen our efforts in developing our domestic subsidiaries. We also intend to use part of the funds to investigate the unique distribution channels that have become available for our RAWW initiative."
About GK Intelligent Systems, Inc.:
GKIG is a developer, and provider of proprietary "intelligent" software technology products and supporting technologies designed to personalize nationally-branded products and services, with the objective of improving profitability and fostering higher levels of customer satisfaction and brand loyalty. The Company operates as a holding company with various emerging entertainment and technology subsidiaries with an emphasis in the music industry.
For more information on GK Intelligent Systems please visit the corporate website, www.gkis.com, and its exciting music entertainment subsidiary's website, www.RAWW.com.
About Dutchess Private Equities Fund II, LP:
Dutchess Private Equities Fund II, LP is engaged in assisting growth companies in all facets of their long-term strategy by providing capital and progressive business solutions. Dutchess Private Equities Fund II, LP, manages a portfolio of private investments in public equities. Founded in 1996, Dutchess has been involved in excess of $300 million in financings for such companies.
Safe Harbor
Statements in this news release that are not historical facts, including statements about plans and expectations regarding products and opportunities, demand and acceptance of new or existing products, capital resources and future financial results are forward-looking. Forward-looking statements involve risks and uncertainties which may cause the Company's actual results in future periods to differ materially from those expressed. These uncertainties and risks include changing consumer preferences, lack of success of new products, loss of the Company's customers, competition and other factors discussed from time to time in the Company's filings with the Securities and Exchange Commission.