Press release from TheNewswire.ca
Viridis Energy Closes $2 million of Private Placement
Tuesday, May 14, 2013
Viridis Energy Closes $2 million of Private Placement17:00 EDT Tuesday, May 14, 2013
Vancouver, BC - May 14, 2013 - Viridis Energy Inc. ("Viridis" or the "Company") (TSXV: VRD) a "Cleantech" manufacturer and distributor of alternative energy providing biomass fuel to global residential and industrial markets, announced today that it has closed the second and final tranche of its $5,000,000 non-brokered private placement (the "Private Placement") announced on April 3, 2013 with the placement of $2,000,000 of units sold under the terms previously disclosed.
The second tranche consisted of 20,000,000 units at a price of $0.10 per unit generating gross proceeds of $2,000,000. Each unit consists of one common share of the Company and one-half of one non-transferable share purchase warrant. Each warrant will entitle the holder to purchase one common share of Viridis at any time within five years following the issuance of the warrant, subject to certain conditions, at an exercise price of $0.15 per share during the first twelve month period, $0.20 per share during the second twelve month period, $0.25 per share during the third twelve month period, $0.30 per share during the fourth twelve month period, and $0.35 per share during the fifth and final twelve month period. If the average trading price of the Company's common shares is $1.00 or greater for a period of 30 consecutive days, the Company can accelerate the expiry period of the warrants by providing written notice of such acceleration by way of news release, such that the exercise period of the warrants will expire on the day that is 30 days after the date of such news release.
All securities issued pursuant to the second tranche of the Private Placement are subject to a hold period, which expires on September 14, 2013. No referral fee or commission was paid on this transaction.
"This final portion of our $5 million financing enables us to complete the start-up of Scotia Atlantic Biomass, which we expect to have operational within the next 6 to 8 weeks. This will bring our annual capacity to 180,000 metric tonnes," said Christopher Robertson, chairman and chief executive officer of Viridis Energy Inc., "As targets for green, renewable energy consumption set by major industrial countries become effective, we expect demand for wood pellets to far surpass supply. To prepare for the projected growth in demand, we are also studying production expansion alternatives at the company's Kelowna, BC plant."
Chief Financial Officer
Viridis Energy Inc
Viridis Energy Inc. (TSXV: VRD) is a publicly traded, "Cleantech" alternative energy company specializing in wood biomass. Headquartered in Vancouver, B.C., Viridis Energy operates Cypress Pacific Marketing, Okanagan Pellet Company and Scotia Atlantic Biomass, thus providing the company with vertical integration for distribution and manufacturing as well as coast to coast national presence. For more information on Viridis Energy Inc. please refer to the company website at www.viridisenergy.ca.
Neither the 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.
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