GreenAngel Offers $2M of Convertible Debentures
Vancouver, British Columbia – GreenAngel Energy Corp. (TSX-V:GAE) is pleased to announce an offering of up to $2 million in convertible debentures (“Debentures”) to accredited investors. The Debentures will be unsecured, will pay 8% interest with semi-annual compounding, paid monthly and will mature five years from the date of issuance with an option for early redemption by the company after 3 years. The Debentures are convertible at the option of the holder into common shares of the company at a conversion price of $0.14 per share. The Debentures, and any common shares issuable upon conversion thereof, will be subject to a four-month hold period in accordance with applicable securities laws. The offering is subject to the approval of the TSX Venture Exchange.
The proceeds of this offering will be used only to make investments in Revenue-Based Financing (“RBF”) instruments and will not be used to fund operations. RBF is financing provided to early revenue stage companies that is paid back via a royalty on sales as opposed to a fixed payment.
RBF is attractive to companies that are not yet qualified for traditional bank debt but do not want to suffer the dilution and control issues associated with equity issuances. Revenue growth and strong gross margins are key attributes required by applicants in order for the successful application of RBF.
GreenAngel’s directors and management team have committed to subscribe for a minimum $500,000 of the Offering.
About GreenAngel Energy
GreenAngel Energy Corp. is a green energy technology commercialization company. Our main focus is commercializing new technologies that produce renewable energy, improve energy efficiency, or use renewable energy resources such as water, wind and solar. We also work with companies that deploy or manage technologies and processes that reduce greenhouse gas (GHG) emissions. In addition to providing strategic capital to investee companies, GreenAngel also provides business and advisory services to help ensure these companies achieve commercial success. For more information, please visit www.greenangelenergy.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 news release.
ON BEHALF OF THE BOARD
Michael C. Volker
CEO and Director