SHARC Energy's Strategic Move in Financing
SHARC Energy, legally known as SHARC International Systems Inc., is taking significant steps by planning a non-brokered private placement of secured convertible debentures amounting to $1,500,000. This innovative financing approach reflects the company's deep commitment to enhancing its operations and supporting its continued growth in the energy sector.
Details of the Convertible Debenture Offering
The convertible debentures being issued will offer a favorable interest rate of 8.0% per annum and will mature in two years from their issuance date. Importantly, holders of these debentures will have the option to extend their maturity by an additional year. As part of this arrangement, accrued and unpaid interest can be settled either in cash or converted into common shares at a price of $0.10 per share. This flexibility caters to the diverse preferences of investors, allowing them to tailor their investment strategy based on their financial goals.
Conversion and Prepayment Options
Investors will enjoy the choice to convert their debentures into common shares at any point prior to the last business day before the set maturity date. This presents an appealing opportunity for stakeholders who believe in the long-term potential of SHARC Energy. Furthermore, the company reserves the right to prepay the principal amount and any accrued interest, providing an additional layer of financial management flexibility.
Utilizing Proceeds for Progress
The proceeds from this offering are earmarked to support the company’s working capital, which is vital as SHARC Energy continues to fulfill order shipments for their renowned SHARC and PIRANHA WET systems. These systems exemplify the company’s dedication to sustainable energy solutions that harness wastewater for heating, cooling, and hot water needs across various sectors, including commercial and residential.
Future Planning and Compliance
SHARC Energy has also indicated a potential finder's fee arrangement to compensate eligible arm’s length finders, adhering to relevant securities regulations. It's crucial to note that all securities issued will be subject to a four-month holding period post-issuance, aligning with Canadian securities laws.
About SHARC Energy's Role in the Industry
SHARC Energy is recognized as a global leader in the energy recovery sector. The company's unique systems are designed to extract thermal energy from the wastewater generated daily, significantly enhancing energy efficiency for heating and cooling applications. This technology not only minimizes waste but also optimizes energy usage in larger buildings and district energy systems.
Investor Relations and Contacts
For investors interested in more information or who may have inquiries regarding SHARC Energy, the company has dedicated resources to ensure transparency and openness. The Chief Financial & Operating Officer, Hanspaul Pannu, is available for inquiries, along with the Director of Marketing & IT, Mike Tanyi. Both officials are accessible via phone or through their respective company emails.
Frequently Asked Questions
What kind of financing is SHARC Energy pursuing?
SHARC Energy is planning a non-brokered private placement for secured convertible debentures, aiming for a principal of up to $1,500,000.
What is the interest rate on the convertible debentures?
The debentures will bear an interest rate of 8.0% per annum for investors.
How will SHARC Energy use the funds from the offering?
The proceeds will primarily be used for working capital, specifically to support the execution of shipments for SHARC and PIRANHA systems.
Who can investors contact for more information?
Investors can contact Hanspaul Pannu for financial inquiries and Mike Tanyi for marketing inquiries at SHARC Energy.
Where can I find more about SHARC Energy's operations?
The company's performance, investor details, and innovation insights can be found on their SEDAR profile and corporate website.
