QSolar to redeem $568,000 of convertible debentures

2014-04-01 06:31 ET - News Release

Mr. Andreas Tapakoudes reports

QSOLAR REPORTS SUCCESSFUL WARRANT CONVERSIONS PRIOR TO MARCH 30 EXPIRY AND REDEMPTION AND EXTENSION OF CONVERTIBLE DEBENTURES

QSolar Ltd. had 471,000 share purchase warrants exercised at a price of 40 cents prior to their expiration at 4 p.m. MT, March 30, 2014. There were a total of 521,000 share purchase warrants due to expire on March 30, 2014. At the close of business March 30, 2014, 50,000 total warrants expired unexercised. The warrant exercises represent a conversion of 90.4 per cent of warrants to common shares and the receipt of total gross proceeds to the corporation of $188,400.

In addition, 100,000 share purchase warrants were exercised March 30, 2014, at a price of 40 cents for total proceeds of $40,000 prior to their expiration at 4 p.m. MT, Dec. 10, 2014.

During March, 2014, 39,840 broker warrants were exercised at a price of 75 cents prior to their expiration at 4 p.m. MT, March 11, 2014, for total proceeds of $29,880 representing a 100-per-cent conversion and a total of 349,000 share purchase warrants also due to expire on March 11, 2014, at an exercise price of $1, expired unexercised.

In light of the current general economic and stock market conditions, management is extremely pleased with the support offered by its current shareholders.

As at March 31, 2014, a total of 72,103,402 common shares are issued and outstanding and a total of 10,596,307 share purchase warrants are issued and outstanding.

The corporation is also pleased to announce that it is redeeming $568,000 of convertible debentures from a total of $913,000 of convertible debentures that matured effective March 31, 2014. The corporation is extending the balance of $345,000 of convertible debentures that were due to mature for one additional year to March 31, 2015.

The convertible debentures are secured and continue to bear interest at 10 per cent per year with interest payable quarterly in arrears. The conversion price of the convertible debentures has been reset at 80 cents, being the market price pursuant to Canadian Stock Exchange policies. The corporation may redeem all or any portion of the principal debentures during the year with notice provided that the holders may exercise their conversion rights prior to the intended date of redemption. The corporation also anticipates that a processing fee may be payable to the original finder's firm on the extended convertible debentures as negotiated.

The corporation has no other secured debt.

We seek Safe Harbor.

© 2014 Canjex Publishing Ltd. All rights reserved.