EHT Closes Second Tranche of Debenture Offering
Jul 22, 2015, 12:49 ET
TORONTO, July 22, 2015 /CNW/ - Enerdynamic Hybrid Technologies Corp. (TSX-V: EHT) ("EHT" or the "Company") is pleased to announce that on July 20, 2015 an additional $3.915 million was closed in escrow on the previously announced CDN $20M of 18% Secured Debentures and "bonus" common share financing (the"Offering", see EHT's press releases dated June 11, 2015 and July 7, 2015 for additional details regarding the Offering).
On July 21st, 2015 the proceeds from closing were released from escrow to support the RFNLP 38 Megawatt School Board Project previously announced. This represents another significant milestone for EHT with respect to this project. EHT has a number of attractive alternatives available to complete the RFNLP project which are currently under review by the Board and which will be presented in a future press release.
On July 20th, 2015 principal amounts of $3,915,000 of Debentures were issued along with 1,566,000 bonus common shares. The debentures were issuable pursuant to a debenture indenture between EHT and Valiant Trust Company dated March 4, 2015, including a supplemental debenture indenture dated July 3, 2015, and will mature on July 3, 2017. The Debentures and bonus common shares are subject to a hold period of four months and one day following closing pursuant to applicable securities regulations.
Kingsdale Capital Markets Inc. ("Kingsdale") acted as agent under the Offering pursuant to an agency agreement with EHT. Kingsdale's commission consisted of cash representing 7% of the gross proceeds of the brokered purchases of Debentures, as well as consideration in the form of 313,200 agent warrants ("Agent Warrants") issued by EHT. Each Agent Warrant is exercisable for one common share in the capital of EHT at a price of $1.00 per Agent Warrant for a period of 24 months following the closing date. The Agent Warrants are subject to a hold period of four months and one day following closing pursuant to applicable securities regulations. The cash portion of the consideration due to Kingsdale was funded from the proceeds of the Offering.
EHT has substantially completed its due diligence on the previously announced EVIA Finance S.A.R.L. ("EVIA") transaction as indicated in its news release dated July 7, 2015. A $6.937M deposit has been advanced to secure the EVIA transaction with the balance of funds, $7.9M, held in trust. The Board has requested additional information from EVIA on the status of the audited financial statements from EVIA's auditor Ernst and Young. EHT expects to receive the final due diligence documentation imminently.
The information in this news release may include certain information and statements that constitute forward-looking information. These forward-looking statements are based upon certain assumptions. Such assumptions are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may vary materially from those anticipated and indicated by these forward-looking statements. Although EHT believes that the expectations reflected in forward-looking statements are reasonable, it can give no assurances that the expectations of any forward-looking statements will prove to be correct. Except as required by law, EHT disclaims any intention and assumes no obligation to update or revise any forward-looking information to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.
Neither 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.
About Enerdynamic Hybrid Technologies
EHT delivers proprietary, turn-key energy solutions which are intelligent, bankable and sustainable. EHT's energy products and solutions can be implemented immediately wherever they are needed. EHT stands above its competitors by combining a full suite of solar PV, wind and battery storage solutions, which can deliver energy 24 hours per day in both small-scale and large-scale format. EHT excels where no electrical grid exists in addition to traditional support to established electrical networks.
Corporate Communications, [email protected], Company Website: www.ehthybrid.com
SOURCE Enerdynamic Hybrid Technologies Corp.
For further information: Mr. John Gamble, CEO/Director, 289-488-1699, [email protected]
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