MONTREAL, Dec. 24 /CNW Telbec/ - Sofame Technologies (TSX-V: SDW), a
leading manufacturer of commercial-industrial heat recovery equipment, has
closed its debenture issue. Proceeds will be used to expand marketing
activities and finance expected growth.
John Gocek, President and CEO, said "Sofame is now better positioned to
benefit from strong institutional demand for its patented energy efficiency
technologies. Sofame's growing network of engineering representatives in the
United States represents a tremendous vote of confidence within the HVAC
industry. Our highly dedicated and motivated employees, as well as cash in the
bank, will contribute to Sofame's continued growth."
On December 21, 2007, Sofame issued, by way of private placement,
unsecured convertible debentures in equal tranches of $25,000 to accredited
investors residing in Quebec and Ontario for gross proceeds to Sofame of
$750,000. Notre-Dame Capital Inc. acted as lead agent for the private
placement, completing the second tranche of the debenture issue and raising
aggregate gross proceeds to $1.575 million.
The debentures bear interest at the rate of 10% per annum, payable
quarterly in arrears, and will mature on December 21, 2010. The principal
amount of the debentures is convertible into Sofame common shares at any time
at the option of the holder at a conversion price of $0.15 per share until
December 21, 2009, and thereafter at a price of $0.165 per share until
maturity. Each tranche of $25,000 is accompanied by 83,333 common share
purchase warrants, entitling the holder to acquire one additional common share
of Sofame at an exercise price of $0.25 until December 21, 2009. There are
currently 63,914,161 issued and outstanding common shares of Sofame.
Sofame paid Notre-Dame Capital and members of the selling group a cash
commission of 10% on gross proceeds from the debentures issued in connection
with the private placement, and also issued non-transferable broker warrants
to Notre-Dame Capital and members of the selling group entitling them to
purchase up to an aggregate of 500,000 common shares of Sofame at an exercise
price equal to the conversion price of the debentures issued to the purchasers
until December 21, 2009. All of the securities issued under the private
placement are subject to a four-month hold period, expiring on April 22, 2008,
in accordance with applicable securities laws and the policies of the TSX
Sofame Technologies Inc. custom engineers and manufactures unique,
high-efficiency direct-contact heat recovery and hot water heating systems.
Sofame's products extract up to 99% of heat from flue gases depending on the
application, and also from wastewater, and return the energy in the form of
high temperature hot water or superheated make-up air. In addition to
economically recovering heat from waste energy, Sofame's products also help
customers to significantly reduce greenhouse gas emissions. Using world
leading patented green technology, the Company serves building owners, public
and private infrastructure, institutional, industrial and commercial markets
through a network of dedicated engineering representatives.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
For further information:
For further information: Jérôme Cliche, (514) 523-6545 ext. 249,
firstname.lastname@example.org; Anne-Chantal Roy, (514) 523-6545 ext. 224,