/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
QUEBEC CITY, Nov. 8, 2016 /CNW Telbec/ - CO2 Solutions Inc. ("CO2 Solutions" or the "Corporation") (TSXV: CST) announces that it has entered into an asset purchase agreement (the "APA") with Akermin Inc. of St. Louis, MO, ("Akermin") pursuant to which the Corporation has purchased certain intellectual property owned by Akermin (the "Assets") for a value of $400,000 (the "Purchase Price").
Akermin, a former US-based competitor of CO2 Solutions in the field of enzyme based carbon capture, has decided to cease operations and liquidate its assets.
Pursuant to the terms of the APA, the Corporation has issued, as payment in full of the Purchase Price for the Assets, 2,000,000 common shares of CO2 Solutions (the "Common Shares") at a deemed price of $0.20 per Common Share to Akermin.
"The acquisition of these IP assets further bolsters our portfolio surrounding carbon capture using carbonic anhydrase" said Evan Price, President and CEO of CO2 Solutions. "Combined with the cessation of operations of Akermin, we think that this acquisition removes any and all ambiguity about which company is the provider of this demonstrated low-cost and environmentally friendly technology to capture CO2 and address the leading environmental issue of our day".
Echelon Wealth Partners Inc. ("Echelon") has been engaged by the Corporation to provide advisory services to facilitate the completion of the acquisition of the Assets. The Corporation paid $20,000 to Echelon and granted an aggregate of 1,500,000 non-transferable common share purchase warrants (the "Advisor Warrants"). Each Advisor Warrant will entitle Echelon to purchase a Common Share at a price of $0.30 per Common Share until November 7, 2019.
Securities for debt
The Corporation also announces that it has entered into securities for debt settlement agreement with one of its service providers to settle $69,510 in outstanding debt. Subject to approval of the TSX Venture Exchange, the Corporation will issue 479,000 Common Shares and 479,000 common share purchase warrants (each, a "Debt Warrant"). Each Debt Warrant will entitle the holder thereof to acquire one Common Share at a price of $0.30 per Common Share until November 7, 2019.
The securities issued by the Corporation will be subject to a resale restriction until March 8, 2017.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, or to, or for the account or benefit of U.S. persons (as such term is defined in Regulation S under the United States Securities Act of 1933, as amended (the "U.S. Securities Act")). The securities have not been and will not be registered under the U.S. Securities Act or any state securities laws and may not be offered or sold within the United States or to or for the account or benefit of a "U.S. person" (as defined in Regulation S under the U.S. Securities Act) unless an exemption from such registration is available.
About CO2 Solutions Inc.
CO2 Solutions is an innovator in the field of enzyme-enabled carbon capture and has been actively working to develop and commercialize the technology for stationary sources of carbon pollution. CO2 Solutions' technology lowers the cost barrier to Carbon Capture, Sequestration and Utilization (CCSU), positioning it as a viable CO2 mitigation tool, as well as enabling industry to derive profitable new products from these emissions. CO2 Solutions has built an extensive patent portfolio covering the use of carbonic anhydrase, or analogues thereof, for the efficient post‐combustion capture of carbon dioxide with low‐energy aqueous solvents. Further information can be found at www.co2solutions.com.
CO2 Solutions Forward-looking Statements
Certain statements in this news release may be forward-looking. These statements relate to future events, including statements relating to the liquidation of Akermin, or CO2 Solutions' future economic performance, and reflect the current assumptions and expectations of management. Factors that could cause actual results to differ materially from such forward-looking statements include, but are not limited to, general business and economic uncertainties, third party events and adverse market conditions as well as those risks set out in the Corporation's public documents filed on SEDAR. Readers are cautioned not to place undue reliance on such forward-looking statements. CO2 Solutions undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE CO2 Solutions Inc.
For further information: Investor Relations and Media Contact: CO2 Solutions: Thom Skinner, 418-842-3456, ext. 223, [email protected], www.co2solutions.com, or, NATIONAL Equicom, Marc Lakmaaker, 416-848-1397, [email protected]