Exhibit 99.1
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Contact: Bruce Widener, CEO, 502-657-3507 investors@askbeacon.com Porter, LeVay & Rose, Inc.: Marlon Nurse, 212-564-4700 Trilogy Capital Partners: Darren Minton, 800-592-6067 HIR: Geralyn DeBusk or Hala Elsherbini 972-458-8000 |
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Beacon Enterprise Solutions Group Announces Reduction in Warrants and
Fully Diluted Shares Outstanding
Fully Diluted Shares Outstanding
— Holders of 62% of the Company’s Warrants Consent to Removal of Anti-Dilution Provisions, 4,876,010 Warrants
Exercised as of March 30, Exercise/Exchange Offer Continued Until April 20, 2010 —
Exercised as of March 30, Exercise/Exchange Offer Continued Until April 20, 2010 —
LOUISVILLE, KY, April 1, 2010 — Beacon Enterprise Solutions Group, Inc. (OTC BB: BEAC)
(www.askbeacon.com), an emerging global leader in the design, implementation and management of high
performance Information Technology Systems (“ITS”) infrastructure solutions, today announced
preliminary results from the Company’s warrant exercise/exchange offer and consent request.
Warrant holders representing 3,363,103 warrants have chosen to exercise for cash and holders of
1,512,907 warrants have chosen the cashless exercise/exchange option. Cash exercises totaled
$3,022,348 as of March 30, 2010. These results represent the elimination of 4,876,010 warrants and
a reduction in the number of fully diluted shares outstanding of 1,080,648. In addition, warrant
holders representing a total of 10,526,709 warrants (62%) have consented to the removal of
anti-dilution provisions, which will allow the Company to reclassify the related warrant liability
on its balance sheet from a liability to equity.
“We are very pleased with these results and the positive impact that they will have on our balance
sheet and equity capitalization table,” commented Bruce Widener, CEO of Beacon Solutions. “Based
upon the initial success of the offer and our goal of emerging from this process with the highest
level of participation possible, we have elected to continue the warrant exercise/exchange offer
until April 20, 2010.”
As disclosed in the Company’s public filings, Beacon had approximately 16 million warrants
outstanding exercisable at prices ranging from $1.00 to $2.50 as of December 31, 2010. The
majority of the warrants, which are related to equity financing from 2007 — 2009, are exercisable
at $1.00 per share. The Company intends to reduce the number of warrants outstanding and/or its
total number of fully diluted shares outstanding by extending the following offer to its remaining
warrant holders:
Warrant holders can either: i) exercise some or all warrants to purchase restricted shares of
common stock at a 10% discount to their stated exercise price on a cash only basis or ii) effect a
cashless exercise at a deemed fair market value of $1.40, so that each warrant to purchase 3.5
shares of common stock will be exchanged for one share of common stock.
About Beacon Enterprise Solutions Group, Inc.
Beacon Enterprise Solutions Group is an emerging global leader in the design, implementation and
management of high performance Information Technology Systems (“ITS”) infrastructure solutions.
Beacon offers fully integrated, turnkey IT infrastructure solutions capable of fully servicing the
largest companies in the world as they increasingly outsource to reduce costs while optimizing
critical IT design and infrastructure management. Through an integrated team approach, Beacon
offers a broad range of products and services including IT infrastructure design, implementation
and management, application development and voice/data/security system integration, installation
and maintenance. Beacon’s client roster includes state and local agencies, educational
institutions, and over 4,000 companies ranging in size from mid-sized companies