TORONTO, Sept. 20, 2016 /CNW/ - Kontrol Energy Corp. (CSE:KNR) (the "Company") announces that it has entered into a Letter of Intent to acquire (the "Proposed Acquisition") the assets of Log-One Ltd.'s Energy Management System ("EMS"), an intelligent, occupancy-based heating and air-conditioning control product, including the hardware, software, intellectual property and patents (combined to be referred to as the "EMS Technology"). The Proposed Acquisition is conditional on the completion of a definitive asset purchase agreement and would involve the payment by the Company of $250,000 in cash, the issuance of 1 million common shares of the Company and the payment of a royalty on future product sales to Log-One Ltd.
The EMS Technology is an integrated smart, occupancy-based thermostat system which has been designed for commercial and industrial use. Unlike a programmable thermostat which requires a high level of attention by the property owner and is subject to ongoing manual adjustments, the EMS Technology provides for pre-programmed automation, smart learning algorithms and more environmental control while delivering best-in-class energy savings.
The EMS Technology is a leader in its field, with more than 10,000 units installed and operating across Canada. It is specifically designed for both retrofit of existing buildings and new building applications, and uses unique patented technology to control pre-heat cycles, room temperatures, ventilation and lighting based on actual occupant behavior. The EMS Technology has been delivering independently verified, market-leading energy savings for customers for the past ten years, producing between 24% and 33% savings in multi-residential buildings and between 30% and 40% in classrooms and offices.
"We are very confident with the ability of the EMS Technology to deliver significant energy savings," says Paul Ghezzi, CEO of the Company. "Our plans are to add Internet of Things (IoT) capability to the EMS Technology and to deliver a series of robust mobile applications. By making the energy savings produced by the EMS Technology visible and interactive we see the potential opportunity of accelerating the deployment of the EMS Technology across North America."
Kontrol Energy seeks to finance the Proposed Acquisition through its recently announced Debenture and Common Share Unit Offering. The closing date of the Proposed Acquisition is anticipated to occur in mid-December, 2016.
About Kontrol Energy Corp.
Kontrol Energy Corp. (CSE:KNR) is a leader in energy efficiency solutions and technology. Through a disciplined mergers and acquisition strategy, combined with organic growth, Kontrol Energy Corp. provides market-based energy solutions to our customers designed to reduce their overall cost of energy while providing a corresponding reduction in Green House Gas (GHG) emissions.
Through our Energy Savings Simplified Program® customers can gain immediate financial savings and the ability to monitor and modify energy consumption and demand in real-time through cloud based IoT solutions. To learn more about Kontrol Energy Corp., please visit the Company's website at www.kontrolenergy.com.
Additional information about Kontrol Energy Corp. can be found on its website at www.kontrolenergy.com and by reviewing its profile on SEDAR at www.sedar.com
Neither IIROC nor any stock exchange or other securities regulatory authority accepts responsibility for the adequacy or accuracy of this release.
About Log-One Ltd.
Log-One Ltd. Is a Canadian private company and over the past decade has manufactured and supplied more than 10,000 EMS devices into the Canadian market and has serviced a wide and diverse client base including multi-residential property owners and managers, commercial landlords and school boards.
Forward Looking Information
This news release includes certain forward-looking statements, which may include, but are not limited to, the completion of financing transactions and the provision of energy solutions to customers. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions "will", "anticipate", "believe", "plan", "estimate", "expect", "intend", "propose" and similar expressions. Forward-looking statements involve known and unknown risks and uncertainties that could cause actual results, performance, or achievements to differ materially from those expressed or implied in this news release. Factors that could cause actual results to differ materially from those anticipated in this news release include, but are not limited to, failure to complete the Proposed Acquisition, the future savings and earnings of the EMS Technology not being consistent with past performance and risks associated with the energy efficiency and/or carbon emission measurement and verification sectors generally. The Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those reflected in the forward-looking statements except as required by applicable law.
SOURCE Kontrol Energy Corp.
Image with caption: "Kontrol Energy Corp. - Enters into Letter of Intent to Acquire Log-One Ltd.'s Energy Management System (CNW Group/Kontrol Energy Corp.)". Image available at: https://photos.newswire.ca/images/download/20160920_C1048_PHOTO_EN_777227.jpg
For further information: Paul Ghezzi, CEO, firstname.lastname@example.org; Kontrol Energy Corp., 5045 Orbitor Drive, Bldg. 9, Suite 401, Mississauga, ON L4W 4Y4, Tel: 905.766.0400, Toll free: 1.844.866.8123