GUELPH, ON, Oct. 31 /CNW/ - BIOREM Inc. (TSXV: BRM), a clean technology
air pollution control company, is pleased to announce that today it completed
a $3,000,000 debenture financing with Wellington Financial LP.
The debt financing was completed to bolster Biorem's working capital
position to deliver on its current record level of Order Backlog and to
execute its strategic plan to further grow its business and more thoroughly
penetrate industrial markets.
In addition, the Company believes that its recently announced advances in
technology development, and planned future advances, will result in broader
air pollution treatment applications for Biorem's technology, and
consequently, greater demand for its products.
"Biorem is a clean technology air pollution control company that is
expanding the use of our technology to a wider range of applications that
allows us to enter new markets." says Peter Bruijns, President and CEO. "This
funding will be used for working capital and the investment in R&D and sales
resources to drive future growth in bookings and revenues."
In connection with the financing, Biorem has also issued to Wellington
Financial 1,153,846 special warrants which are exercisable into 1,153,846
share purchase warrants, each of which share purchase warrants is, upon
payment of the exercise of price of $0.65, exercisable to acquire one common
share of Biorem. The share purchase warrants have a five year term from
today's date. The warrants, if exercised today, would represent approximately
8.8 per cent of the outstanding common shares of Biorem.
Canaccord Capital Corp. acted as financial advisor to the Company with
respect to this transaction.
About BIOREM Inc.
BIOREM manufactures Biosorbens(R) biofilter media and is a leading
supplier of biofilters for air pollution control in municipal and industrial
applications, including BIOCUBE(R) modular units and Mytilus(R) biotrickling
filters. With over 500 installed systems and over a decade of experience, the
Company's products are the technology of choice for odor control at wastewater
treatment plants across North America. Additional information on BIOREM is
also available at our web site at www.biorem.biz.
The TSX Venture Exchange Inc. has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. The TSX
Venture Exchange Inc. has in no way passed upon the merits of the
proposed transaction and has neither approved nor disapproved of the
contents of this release.
This press release contains forward-looking statements based on current
expectations. These forward-looking statements contain various risks and
uncertainties that could cause actual results to differ materially from those
reflected in the forward-looking statements. Risks and uncertainties about the
Company's business are more fully discussed in the disclosure materials,
financial statements and MD&A filed with the securities regulatory authorities
in Canada on www.sedar.com
"EBITDA", "Order Bookings", and "Order Backlog" do not have any
standardized meaning prescribed by Canadian generally accepted accounting
principles ("GAAP") and may not be comparable to measures presented by other
EBITDA is used to denote earnings (loss) from operations and represents
earnings before interest, income taxes, depreciation and amortization. EBITDA
should not be construed as a substitute for net income determined in
accordance with GAAP. This measure is important to the Company since it is
used by potential investors and lenders to evaluate the ongoing cash
generating capability of the Company and thus the amounts they are willing to
invest and lend to the Company.
Order Bookings and Order Backlog are non-GAAP measures that the Company
uses to evaluate its sales performance. Order Bookings are those binding
contracts that the Company enters into with a third party for the delivery of
our products or services. As Order Bookings are received, the contract value
(before any associated sales taxes) is included in the Order Backlog. The
Order Backlog is reduced by the revenue that is recognized on each project.
For further information:
For further information: Ed Corbett, Chief Financial Officer, BIOREM
Inc., email@example.com, Tel: (519) 767-9100 x275