XZERES Completes $15MM Financing with Wells Fargo
XZERES, a global clean energy solutions company, said it has completed a financing with Wells Fargo Bank and strategic investors for total proceeds of $19.9 million.
The financing included a new $15 million term loan by Wells Fargo Bank at an interest rate of LIBOR +3%, with a seven-year amortization schedule and due in 18 months.
The company said it also sold 14.1 million common shares and converted outstanding warrants into 3.2 million common shares for net proceeds of $4.9 million in transactions involving existing investors.
Steven Shum, XZERES’ CFO, commented: “The financing transaction provides additional working capital to support our expanded product line and assists us to more effectively pursue a growing number market opportunities around the world. This includes the wind markets in Japan, Vietnam, India, Philippines, as well as in Europe and the Americas. We have now partnered with a leading commercial bank and simultaneously improved the overall strength of our balance sheet. We are fortunate that the key investors from RPR have been instrumental in supporting the company’s efforts to date, understanding our long-term strategy and vision, and continuing to support our forward plans including this significant financing transaction.”