VRB Power Systems Inc. (Vancouver, BC) announced that the company has negotiated, subject to regulatory acceptance, a private placement financing for up to $3,500,000 CAD. The private placement financing will include a non-brokered portion of up to $2,500,000 CAD, and a brokered portion of up to $1,000,000 CAD with Pacific International Securities Inc.
The unit offering comprises one common share at $0.90 CAD per share, and one common share purchase warrant with each warrant entitling the holder to acquire one VRB Power common share at a price of $1.15 CAD per share for a period of one year. Commissions and finder's fees will be payable in accordance with and subject to the rules and regulations of the TSX Venture Exchange. Pacific International will be provided with a Greenshoe Option exercisable at any time prior to closing, allowing for an increase in the brokered private placement by up to 20%.
The company will not proceed with the convertible debenture financing of August 27, 2003, at this time. The company has elected to close the $3,500,000 financing to take advantage of immediate strategic and development opportunities regarding the VRB Energy Storage System, and for general working capital.
