Parent company Corgi International Limited, announced a private placement of convertible subordinated notes and warrants with gross proceeds to the company of $5.65 million.
According to George Volanakis, CEO: “The additional funds enable the Company to reduce its reliance on debt financing and upon conversion, it dramatically strengthens the balance sheet. Most importantly, it allows us to fulfil our aggressive 2006 product development plan which includes our unique iCar product, GoGo Rollers, Streakerz, Twisterz, James Bond die-cast replicas and other new generation toy lines which are being enthusiastically welcomed by our customers. A combination of new products and a marked increase in the number of retailers carrying Corgi products bode well for a strong second half.”
The firm says it expects its iCar product to turn into its biggest single-year seller in its history. The iCar, launching in the UK in July, depicts a crafted replica of the Nissan 240SX mounted on a designer speaker base. When any MP3 player is connected to the base, the vehicle will rock and roll to the speed of the music, wheels spinning and lights flashing in unison.
David Turner, MD of Corgi Europe, added: “Corgi has a first class heritage when it comes to innovation – we were the first to put windows into toy cars back in 1956 and 50 years later we’re working with the very latest technology with the iCar. What’s more, this is only one of a host of strong products we’ve got on offer this year and feedback and support from UK and International customers has been very positive.”