Ballard Announces US$100 Million Equity Financing

December 11, 2002 by Jeff Shepard

Ballard Power Systems Inc. (Vancouver, BC) announced that it has entered into an agreement with a syndicate of underwriters led by RBC Capital Markets as book runner and CIBC World Markets as co-lead manager, for the issuance of 7.7 million common shares at a price of CDN$20.25 per common share, or US$13.016 per common share, for total gross proceeds of approximately CDN$155.9 million, or US$100.2 million, based on current exchange rates.

The issue is being underwritten on a “bought deal” basis and is being made by way of a prospectus filed in all provinces of Canada and a registration statement filed in the US. Closing of the offering is expected on or about December 30, 2002. The net proceeds of the offering will be added to working capital and principally used for research and product development for portable power generation; small- to mid-sized, stationary power generation and transportation applications; the development of high-volume, manufacturing processes and the acquisition of related equipment; and for general corporate purposes, including the development of product distribution and service capabilities.