Breakwater Investment Management Completes Financing of WebXU, Inc

Breakwater Investment Management, LLC (“Breakwater”) has provided senior secured bridge financing for WebXU, Inc. (“WebXU”) out of its Breakwater Structured Growth Opportunities Fund (the “Fund”). Breakwater, which serves as General Partner of the Fund, is a private investment firm that specializes in direct investments in small to lower middle market growth businesses.

Headquartered in Los Angeles, CA, WebXU, Inc. (OTC.BB: WBXU.OB) is an innovative and growing media company that owns and operates a network of consumer-branded websites and online businesses. Through its growing portfolio of web properties, WebXU connects consumers with financial services, insurance, higher education, electronics, and other offerings.

“We approached Breakwater for a bridge loan and additional growth capital financing following our recent acquisition of Lot 6 Media, LLC,” said Matt Hill, Chairman and CEO of WebXU. “This financing from Breakwater frees up working capital to support WebXU’s accelerated growth. We are extremely pleased to be working with the professionals at Breakwater.”

“We had the flexibility to execute on WebXU’s request for bridge financing, while putting in place an additional tranche of capital for future growth needs,” said Saif Mansour, Managing Partner at Breakwater. “We are very pleased to be supporting this expanding Los Angeles-based Internet media company.”

About Breakwater Investment Management, LLC
Breakwater Investment Management is a private investment firm that specializes in direct investments in small to lower middle market growth businesses with annual sales ranging between $5 million and $100 million. The firm serves as general partner of Breakwater Structured Growth Opportunities Fund, LP, a $100 million open-ended private investment partnership organized in August 2008 under Delaware law. The Fund’s investment objective is to generate both current income and capital appreciation through secured debt investments accompanied with equity participation rights, primarily in growth-oriented companies across a variety of industries.

Contact:
Darla Bea Smith
Breakwater Investment Management, LLC
1999 Avenue of the Stars
Suite 3430
Los Angeles, CA 90067
Tel:(424) 777-4000
Fax:(424) 777-4001