Spatializer Audio Plans Private Stock Placement

Spatializer Audio Laboratories, a Woodland Hills developer of advanced audio technologies, announced that it plans to raise $874,000 through a private placement of its common stock, which trades on the Vancouver Stock Exchange.

The company said it will sell 350,000 “units,” composed of one common stock share and one-quarter share of a purchase warrant, at a price of $3.45 each. Holders of one purchase warrant will be able to buy an additional share of stock for $3.45 during the first year after the transaction and for $4 per share during the second year.

Proceeds from the private placement would be used to expand Spatializer’s marketing, research and development efforts, to retire outstanding debts and to increase working capital reserves, said Steven D. Gershick, chief executive officer. The sale to investors is subject to acceptance by regulatory authorities.

Spatializer Audio produces devices that create three-dimensional surround sound from two conventional stereo speakers.