Company: MicroPlanet Technology Corp.
Stock Listing: MP:TSXV
Stock Listing (US): MCTYF: OTC
Web Site: www.microplanet.com
SEATTLE, March 26 /CNW/ - MicroPlanet, (MP:TSXV & MCTYF:OTC) a smart
grid, energy conservation company today announced that it has entered into an
agreement with a syndicate of lenders to provide a line of credit of up to
C$1.0 million.
The credit line will bear interest at a rate of 9% per annum on amounts
drawn, payable monthly in arrears. In conjunction with the credit line, an
aggregate of four million purchase warrants will be issued to the lenders in
the syndicate. Each warrant will be exercisable for one common share at a
price of $0.25 per share for a period of 24 months from the closing date. The
credit line will be fully secured by a general security agreement and, subject
to early payment by MicroPlanet, repayable 24 months from the closing date.
The proceeds from this credit facility will be used to finance
fulfillment of existing and new commercial orders and general working capital
purposes.
This facility is being provided by a director of MicroPlanet Brett
Ironside and by a company controlled by another director of MicroPlanet, Myron
Tetreault. In connection with this credit facility, a 5% set up fee of $50,000
is payable to two companies controlled respectively by such directors. The
lenders have also agreed to commit 50% of the amount of the credit facility
towards any follow up financing that may be completed by MicroPlanet.
The credit line is subject to certain conditions including, but not
limited to, the receipt of all necessary regulatory approvals, including the
approval of the TSX Venture Exchange.
About MicroPlanet Technology Corp.
MicroPlanet Technology Corp. is a smart grid, energy conservation company
whose technology improves power quality and saves electric energy by the
dynamic management of incoming voltage to a home or business. In commercial
and residential building installations, MicroPlanet products have been proven
to significantly reduce electric bills, maintenance costs and greenhouse
gases. Installation of MicroPlanet products for utilities has improved utility
services and facilitates the integration of renewable energy sources,
including solar and wind, to the power grid. MicroPlanet is based in Seattle,
WA and is listed on the TSX Venture Exchange (TSX-V) trading under the stock
symbol: MP. MicroPlanet's website is www.microplanet.com.
THIS NEWS RELEASE MAY CONTAIN FORWARD-LOOKING INFORMATION. ACTUAL FUTURE
RESULTS MAY DIFFER MATERIALLY FROM THOSE CONTEMPLATED. THE RISKS,
UNCERTAINTIES AND OTHER FACTORS, BOTH KNOWN AND UNKNOWN, THAT COULD INFLUENCE
ACTUAL RESULTS MAY BE SUBSTANTIAL AND INCLUDE THOSE DESCRIBED IN DOCUMENTS
FILED WITH REGULATORY AUTHORITIES, SUCH AS THE COMPANY'S MOST RECENTLY FILED
ANNUAL AND QUARTERLY REPORTS AND ANNUAL INFORMATION FORM. ACCORDINGLY, NO
ASSURANCES CAN BE GIVEN THAT ANY OF THE EVENTS ANTICIPATED BY THE
FORWARD-LOOKING STATEMENTS WILL TRANSPIRE OR OCCUR, OR IF ANY OF THEM DO SO,
WHAT BENEFITS THE COMPANY WILL DERIVE THEREFROM.
THE TSX VENTURE EXCHANGE HAS NEITHER APPROVED NOR DISAPPROVED OF THE
INFORMATION CONTAINED HEREIN.
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