EDMONTON, Nov. 30, 2015 /CNW/ - Radient Technologies Inc. (TSX-V: RTI) (the "Corporation") announced today that it has released its financial results for the second quarter of its fiscal year ended March 31, 2016. The unaudited financial statements, Management's Discussion and Analysis, and the CEO & CFO certifications for the six month period ended September 30, 2015 are available on www.SEDAR.com.
Current Financial Situation
The Corporation is currently experiencing a significant cash shortage. The Corporation urgently needs to secure additional financing arrangements in order to fund its current working capital deficit and to fund its continuing operations and corporate administration costs so as to continue as a going concern. The board of directors of the Corporation is currently advancing alternatives to address the Corporation's financial situation.
To partially alleviate this issue, Radient announced a non-brokered private placement of up to 7,500,000 units (the "Units") of the Corporation at a price of $0.10 per Unit for aggregate proceeds of up to $750,000 (the "Offering"), subject to regulatory approval. Each Unit shall be comprised of one common share of the Corporation (a "Common Share") and one half Common Share purchase warrant (each whole warrant, a "Unit Warrant"), with each whole Unit Warrant entitling the holder to subscribe for one additional Common Share at a price of $0.25 per Common Share until the date that is 42 months from the date of issuance. It is anticipated that the Offering will be closed in multiple tranches.
In addition, Radient previously announced that it has entered into a shares for debt agreement with a certain arm's length creditor of the Corporation with respect to the settlement of $34,050 (the "Indebtedness") owing to such creditor by the Corporation whereby, as payment in full of the Indebtedness, the Corporation has agreed to issue to such creditor 340,500 units, with each such unit consisting of one Common Share and one half Common Share purchase warrant (the "Debt Warrant"), with each whole Debt Warrant entitling the holder to subscribe for one additional Common Share at a price of $0.50 per Common Share until the date that is 42 months from the date of issuance (the "Debt Transaction"). This arrangement is subject to TSX final approval.
Radient extracts natural compounds from a range of biological materials using microwave assisted processing ("MAP™"), a patented technology platform which provides superior customer outcomes in terms of ingredient purity, yield, and cost. From its 20,000 square foot manufacturing plant in Edmonton, Alberta, Radient serves market leaders in industries that include pharmaceutical, food, beverage, natural health, personal care and biofuel markets. Visit www.radientinc.com for more information.
SOURCE Radient Technologies Inc.