RE: NR: CONSOLIDATION 1 FOR 10
Sustainable Energy Announces $500,000 Equity
Financing with Doughty Hanson and 10:1 Consolidation
of Common Share Capital
Sustainable Energy Technologies Ltd. (TSX-V: STG)
("Sustainable Energy" or the "Company") is pleased
to announce a $500,000 equity financing with Doughty
Hanson Technology Ventures and a consolidation
(the "Consolidation") of its issued and outstanding
common shares ("Common Shares") on the basis of ten
old Common Shares for one new Common Share.
The Doughty Hanson investment, which will follow the
common share consolidation, will provide additional
capital to the Company to shift production to its
3rd generation PARALEX "STX" inverter for North American
and Japanese solar PV markets; and to begin first
production of its "AC Battery" for markets in Germany
and Japan. (See: News Release: dated Sept 26, 2012
"Sustainable Energy Releases World Class Proprietary
"AC Battery" Technology for the Growing Energy Storage Market").
The Consolidation will reduce the number of Common
Shares issued and outstanding to 20,915,581 in order
to better position the Company for ownership by US and
European institutional investors seeking growth
opportunities in the high potential decentralized energy
storage market which the Company believes will be the
main driver of shareholder value over the next two to
three years. The proposed Consolidation was approved by
shareholders on August 21, 2012, and, subject to the
approval of the TSX Venture Exchange ("TSX-V"), the Company's
Common Shares will begin trading on a post-consolidation
basis on the TSX-V at market open on December 27, 2012
under the same stock symbol "STG".
Following the Consolidation, Doughty Hanson will acquire
50,000 units at a price of $10 per unit, each unit being
comprised of one, 8%, five-year First Preferred Shares,
Series 13, convertible into Common Shares at a conversion
price of $0.40 per share ("Series 13 Share") and 25 five-year
Common Share Purchase Warrants ("Warrants") exercisable at
a price of $0.50 per share.
Mr. Michael Carten, CEO of Sustainable Energy, commented,
"We are pleased with the vote of confidence that our
financial partner, Doughty Hanson, has shown with this
additional $500,000 investment in our Company. The investment
comes at a critical inflection point as we move forward with
the implementation and commercialization of our growth
strategy in Europe, the United States and Japan of our world
class proprietary inverter technology. The investment will
help us in these new markets for the roll out of our strategy
and accelerate marketing in the high growth energy storage
sector where we have a clear technology lead. The opportunities
we are presented with have positioned us to further prove
our value proposition to the global market place."
The PARALEX STX platform is certified for European markets
and is currently in testing with CSA to certify products for
use in North America and with JET to certify products for
use in Japan. The certifications processes are on track and
the Company expects to be in production of the STX during Q1,
2013. (See: News Release October dated 25, 2012 "Sustainable
Energy on Track to Certify PARALEX "STX" for Multi-Gigawatt
Japanese Solar Market"
The Company does not intend to change its corporate name at
this time, but will issue new share certificates under a
new CUSIP number. Registered shareholders will receive a
letter of transmittal from Equity Financial Trust Company,
the Company's transfer agent, with information on how to
replace their old share certificates with the new share
certificates. Brokerage firms will handle the replacement
of share certificates on behalf of their shareholders' accounts.