RE:RE:RE:CEMATRIX Completes Phase 2 and 3 tony08 wrote: Don't forget that in his latest video, Jeff Kendrick talked about expanding to 5 plants or more with Glavel in near future.
He also said that each plant represents two lines of production, such as these two lines that they will have very soon.
What I still don't know is the number of shares that Cematrix receives in return......is it correct? I leave this decision to the experts who will analyze this in the coming days.
For now i find this news very good.
I think this is most of the deal if not all the deal of Glavel. The Glavel Investment will be completed in stages and be comprised of the purchase of equity securities, convertible notes, and warrants. The first stage of the investment will commence with the acquisition of 265,061 Series Seed Convertible Preferred Stock at a price of USD $2.114 per Share for an aggregate purchase price of USD $560,338. This first investment will give CEMATRIX a 9.4% ownership share of Glavel. These funds will be used mainly for working capital as production and sales ramp up from the first kiln. Subsequent investments will be by way of convertible notes into shares and warrants with established conversion values, and the proceeds from future tranches will be used for the purchase and commissioning of the second kiln for the Vermont facility in the near term. The convertible notes portion of the Investment will enable Glavel to order and have the second kiln delivered and installed at its current facility in Vermont within a year, assuming the current expected level of supply chain delays expressed by the manufacturer of the equipment. The convertible notes will be secured by a first charge on this second kiln. Based on current established sales prices, one fully operational foamed glass processing plant can generate up to $15 million U.S. in sales and is forecasted to generate returns commensurate with CEMATRIXs expectations for its cellular concrete business, once sell out of the Glavels annual production is achieved. Assuming CEMATRIX exercises all of the Glavel warrants it will receive as part of this agreement and converts all of its Glavel convertible debt and accrued interest within three years as planned, CEMATRIX will own between 40% and 45% of Glavel, barring any further investments by CEMATRIX or other offerings by Glavel. CEMATRIX will also have the opportunity to grow its investment in Glavel, as Glavel expands its operations with CEMATRIXs assistance. In addition to providing sales and technical support, CEMATRIX will initially have one of three Board seats, which are commensurate to its planned fully diluted investment in Glavel.