NOT FOR DISTRIBUTION TO THE U.S. NEWS WIRE SERVICES OR DISSEMINATION IN
THE UNITED STATES
All amounts in Canadian dollars unless otherwise stated.
QUEBEC CITY, June 29, 2010 /CNW Telbec/ - H2O Innovation Inc. ("H2O Innovation" or the "Company") (TSX VENTURE:HEO)
(ALTERNEXT:MNEMO:ALHEO) announces it has completed the previously
announced non-brokered private placement with Le Fonds d'investissement
RÉA II Natcan Inc. ("Fonds RÉA II") whereby Fonds RÉA II has acquired
from the Company a number of 1,882,353 common shares in the share
capital of the Company (the "Common Shares") at a price of $0.425 per
share for aggregate gross proceeds of $800,000 (the "Fonds RÉA II
The Company also announces that it has completed, concurrently with the
completion of the Fonds RÉA II Offering, the previously announced
non-brokered private placement with a group of private investors (the
"Private Investors Offering" and, collectively with the Fonds RÉA II
Offering, the "Private Offerings"), in which Mr. Richard A. Hoel,
director of H2O Innovation and holder of more than 10% of the Common Shares, and Mr.
James L. Peterson, Chief Operating Officer of H2O Innovation, are participants. As part of the Private Investors
Offering, the Company issued 3,073,531 Common Shares at a price of
$0.425 per share for aggregate gross proceeds of approximately
The Common Shares issued as part of the Private Offerings are subject to
a statutory four-month hold period.
The Company will use the proceeds of the Private Offerings for its
working capital and general corporate purposes.
Merger of U.S. operating subsidiaries and adoption of H2O Innovation name for all U.S. operations
As part of efforts to continuously improve its business and
administrative processes, H2O Innovation will be merging its U.S. operating subsidiaries on July 1,
2010. Consequently, Membrane Systems Inc., Wastewater Technologies Inc.
and Itasca Systems Inc. will be merged on July 1, 2010 and continue
their activities under the name of H2O Innovation USA, Inc.
This merger will streamline the Company's structure and several of its
administrative and financial processes, bringing increased efficiency,
better integration of its operations, and a reinforced, unified brand
image for all its activities related to the sale of water treatment
systems and equipment. For marketing purposes, the Professional Water
Technologies brand name will continue to be used to market the
Company's line of specialty chemicals for reverse osmosis and
ultrafiltration water treatment systems.
Certain statements set forth in this press release regarding the
operations and the activities of H2O Innovation as well as other communications by the Company to the
public that describe more generally management objectives, projections,
estimates, expectations or forecasts may constitute forward-looking
statements within the meaning of securities legislation.
Forward-looking statements concern analysis and other information based
on forecast future results and the estimate of amounts that cannot yet
be yet determined. Forward-looking statements include the use of the
words "expect", "believe", "estimate" and other similar terms as well
as those usually used in the future and the conditional, notably
regarding certain assumptions as to the success of a venture. Those
forward-looking statements involve a number of risks and uncertainties
which may result in actual and future results of the Company to be
materially different than those indicated. Information about the risk
factors to which the Company is exposed is provided in the Annual
Information Form dated September 28, 2009 available on SEDAR (www.sedar.com). Unless required to do so pursuant to applicable securities
legislation, H2O Innovation assumes no obligation to update or revise forward-looking
statements contained in this press release or in other communications
as a result of new information, future events and other changes.
About H2O Innovation
With 10 years of experience developing water treatment solutions, H2O Innovation is establishing itself as a key player in sustainable
development and clean technologies in North America and abroad. H2O Innovation designs, develops, produces, and integrates
state-of-the-art custom-built water treatment systems for the
production of drinking water, the reclamation of water, the treatment
of wastewater and industrial process water in the municipal,
commercial, industrial, oil & gas, mining, and energy markets.
Additionally, the Company offers complete operating and maintenance
solutions for membrane filtration and reverse osmosis systems. H2O Innovation has approximately 90 employees and eight offices including
three manufacturing plants in Canada and the United States and is a
founding partner of H2O Innovation India, a joint venture with Chembond Chemicals Ltd. of
Mumbai, India. Shares of H2O Innovation are listed on the TSX Venture Exchange (HEO) as well as on
the NYSE Euronext Alternext Exchange (MNEMO: ALHEO). For more
information about H2O Innovation, visit www.h2oinnovation.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) nor
the Alternext Exchange accepts responsibility for the adequacy or
accuracy of this release.
SOURCE H2O INNOVATION INC.
For further information:
H2O Innovation Inc.