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ENVIRONMENTAL CLEAN TECHNOLOGIES LIMITED. — Capital/Financing Update 2007
Sep 5, 2007
64819_rns_2007-09-05_f7b7aa41-3723-4477-aed1-4514b03d8d02.pdf
Capital/Financing Update
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Environmental Clean Technologies Limited
ABN 28 009 120 405
EXPLANATION RE: $15M EQUITY LINE of CREDIT
In answer to two questions from shareholders the company offers the following additional information.
The Standby Subscription Agreement entered with Fortrend Securities, announced on Wednesday, 5[th] September, provides a secure long-term access to funds that may be needed at the discretion of Environmental Clean Technologies (ECT).
Under the agreement, Fortrend has committed to provide up to $15,000,000 to ECT to be drawn at ECT’s discretion by the issue of shares to Fortrend.
ECT has the right, but not the obligation to utilise the facility and determine the timing of any drawdown that occurs.
ECT will issue shares based on a 10% discount to the Volume Weighted Average Price (VWAP) for the five days post drawdown notice.
In addition, with each drawdown, Fortrend will receive 1 option for every 4 shares with an exercise price 110% of the Volume Weighted Average Price with an expiry date of 3 years after the drawdown date.
As mentioned yesterday by the ECT Managing Director, Con Galtos:
“The ECT team is now able to totally focus its attention on the implementation of its “ Go To Market ” strategy. Our Coldry© process is now in the global marketplace and positive negotiations with a number of national and international companies regarding their use of our technology are proceeding”.
For further information kindly contact Con Galtos on 0413 747 077
Level 13 � 222 Kingsway � South Melbourne � Victoria 3205 � Australia � +61(0)3 6984080 � www. etcltd.com.au