Eguana Announces Closing of C$33 Million Strategic Investment by ITOCHU Corporation and US$5 Million Loan from Western Technology Investment
CALGARY, Alta., August 31, 2022 /CNW/ – Following its press release of August 26, 2022Eguana Technologies Inc. (“Eguana“or the”Company“) (TSXV: EGT) (OTCQB: EGTYF) is pleased to announce the closing of the previously announced strategic investment by ITOCHU Corporation (“ITOCHU“) of C$33 million in the form of an unsecured convertible debenture (the “Debenture“) of the Company (the “Funding“) on the terms previously disclosed.
Moreover, following its press releases dated April 4 and August 26, 2022the Company is pleased to announce that it has completed the draw for the second tranche of $5 million (there “Ready“) with lending partner Western Technology Investment, pursuant to a loan agreement between the Company, Eguana Inc. (formerly Sustainable Energy Systems Inc.), EGT Markets Limited Partnership, Venture Lending & Leasing IX, Inc. and WTI Fund X, Inc. (with Venture Lending & Leasing IX, Inc., the “Lenders“) date April 1, 2022as amended (the “Loan agreementIn connection with the loan, the lenders have waived financial milestones required under the loan agreement. Additional details regarding the loan can be found on the Company’s profile on SEDAR at www.sedar. com.
The use of the financing proceeds will be used to finance the working capital and general expenses of the Company. All securities issued under the financing will be subject to a hold period of four months and one day in accordance with applicable Canadian securities laws. No finder’s fee was paid in connection with the Financing. The Financing remains subject to the final approval of the TSX Venture Exchange (the “TSXV“).
Fort Capital Partners acted as sole financial advisor to the Company, Minden Gross LLP acted as legal advisor to the Company and Blake, Cassels & Graydon LLP acted as legal advisor to ITOCHU in connection with the Financing .
The history of ITOCHU Corporation dates back to 1858 when the company’s founder, Chubei Itoh, started linen trading operations. Since then, ITOCHU has evolved and grown for 150 years. With approximately 110 bases in 63 countries, ITOCHU, one of the leading sogo shosha, engages in domestic trade, import/export and overseas trade of various products such as textiles, machinery, metals, minerals, energy, chemicals, food, general trade. products, real estate, information and communications technology and finance, as well as business investment in Japan and abroad.
About Western Technology Investment
Founded in 1980, Western Technology Investment (WTI) pioneered the concept of venture capital debt. The company provides minimally diluted, truly usable capital to high-growth, public and private, technology and life sciences companies. For more information, visit westerntech.com.
About Eguana Technologies Inc.
Situated at Calgary, Alberta Canada, Eguana Technologies Inc. (TSXV:EGT)(OTCQB:EGTYF) designs and manufactures high performance residential and commercial energy storage systems. Eguana has two decades of experience supplying grid edge power electronics for fuel cell, photovoltaic and battery applications, and provides proven, durable and high quality solutions from its manufacturing facilities. large capacity to Europe, Australia and North America.
With thousands of its proprietary energy storage inverters deployed in the European and North American markets, Eguana is a leading supplier of power controls for solar self-consumption, grid services and off-grid charging applications. demand at the network edge.
To learn more, visit www.eguanatech.com or follow us on Twitter @EguanaTech
Readers are cautioned that some of the information contained in this document may constitute forward-looking statements and forward-looking information (together, “forward-looking statements”) within the meaning of National Instrument 51-102 Continuous Disclosure and Disclosure Obligations. other relevant securities laws. . In particular, we include, among other things: the use of the proceeds, the ability of the Company to comply with the terms of the debenture and the loan agreement, including, but not limited to, the payments of interest and principal payments and the Company’s ability to obtain the necessary approvals from the TSXV in connection with the Financing.
Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties. Many factors could cause the actual results, performance or achievements of the Company, or future events or developments, to differ materially from those expressed or implied by the forward-looking information. These factors include, but are not limited to, the risks associated with: the inability to obtain necessary regulatory approvals in connection with the financing; the ability to make interest payments on the loan and debenture; general economic, market and business conditions; industry capacity; operations of Eguana’s assets, the competitive action of other companies and other factors set forth in the “Risk Factors” section of the Company’s most recent annual MD&A for the three and nine months ended June 30, 2022 which can be viewed on its website or on sedar.com. Readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. The Company undertakes no obligation to publicly release any revisions to the forward-looking statements contained herein to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unforeseen events, except as required by securities laws applicable so require.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
SOURCEEguana Technologies Inc.
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/August2022/31/c1464.html