Company: MicroPlanet Technology Corp.
Stock Listing: MP: TSXV
Stock Listing (US): MCTYF: OTC
Web Site: www.microplanet.com
SEATTLE, WA, May 20, 2011 /CNW/ - MicroPlanet Technology Corp.
("MicroPlanet" or the "Company") (TSXV: MP) (OTC: MCTYF), an energy
conservation smart grid company, today is pleased to announce that it
intends to complete a private placement of up to 9,000,000 units (the
"Units") at a price of $0.10 per Unit (the "Offering"). Each Unit
consists of one common share of MicroPlanet (the "Common Shares") and
one Common Share purchase warrant (the "Warrants"). Each Warrant
entitles the holder to acquire one Common Share at any time prior to
4:00 p.m. (Seattle time) on the date that is two years from the closing
date of the Offering upon payment of the exercise price of $0.15 per
Common Share. Closing of the Offering is expected to occur on or about
May 20, 2011.
The Offering is subject to certain conditions including, but not limited
to, the receipt of all necessary regulatory approvals, including the
approval of the TSX Venture Exchange ("TSXV"). Certain members of the
Company's management and its Board of Directors intend to participate
in the Offering by acquiring, in the aggregate, 1,100,000 Units.
In connection with the Offering, the Company has agreed to pay a
success-based finder's fee consisting of 500,000 Warrants to The Howard
The Offering, if completed, would raise initial gross proceeds of up to
$900,000 and up to a further $1,350,000 assuming full exercise of the
Warrants. MicroPlanet intends to use these proceeds for the procurement
of parts to support manufacturing of MicroPlanet's products; for the
marketing and development of MicroPlanet's smart grid and energy
conservation products; and for general working capital purposes.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy the securities in the United
States. The securities offered have not been registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in
the United States absent registration or an application exemption from
the registration requirements.
Shares for Debt
The Company also announces that it will be filing a Shares for Debt
Application with the TSXV to satisfy interest payments outstanding to
certain holders of the secured convertible notes of the Company (the
"Notes"). The Notes bear interest at the rate of twelve percent (12%)
per annum payable semi-annually in arrears. At the option of the holder
of the Note, interest payments may be made in the form of Common Shares
at an issue price equal to the market price of the Common Shares at the
time of settlement.
In lieu of an aggregated cash interest payment in the amount of C$31,836
to the holders of the Notes, the Company intends, subject to TSXV
approval, to issue an aggregate of 303,202 Common Shares to the holders
of the Notes. The payment of the debt will be based on a price per
Common Share of $0.105, such price being the closing price on April 29,
2011. The Common Shares issuable will be subject to a four-month hold
period in accordance with applicable securities laws and TSXV
About MicroPlanet Technology Corp.
MicroPlanet Technology Corp. solutions improve power quality and save
energy by dynamically managing incoming voltage to a home or business
through the use of patented, advanced power electronics. MicroPlanet's
technology has been deployed in seven countries by more than 20
utilities, the U.S military and multiple commercial customers to save
energy, improve power quality and grid efficiency and to facilitate the
integration of renewable energy sources, including solar and wind.
MicroPlanet is based in Seattle, WA and is listed on the TSX Venture
Exchange (TSX-V) trading under the stock symbol: MP. www.microplanet.com
THIS NEWS RELEASE MAY CONTAIN FORWARD-LOOKING INFORMATION. ACTUAL FUTURE
RESULTS MAY DIFFER MATERIALLY FROM THOSE CONTEMPLATED. THE RISKS,
UNCERTAINTIES AND OTHER FACTORS, BOTH KNOWN AND UNKNOWN, THAT COULD
INFLUENCE ACTUAL RESULTS MAY BE SUBSTANTIAL AND INCLUDE THOSE DESCRIBED
IN DOCUMENTS FILED WITH REGULATORY AUTHORITIES, SUCH AS THE COMPANY'S
MOST RECENTLY FILED ANNUAL AND QUARTERLY REPORTS AND ANNUAL INFORMATION
FORM. ACCORDINGLY, NO ASSURANCES CAN BE GIVEN THAT ANY OF THE EVENTS
ANTICIPATED BY THE FORWARD-LOOKING STATEMENTS WILL TRANSPIRE OR OCCUR,
OR IF ANY OF THEM DO SO, WHAT BENEFITS THE COMPANY WILL DERIVE
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS
THE TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE)
ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
SOURCE MicroPlanet Technology Corp.
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