OTTAWA,
June 27, 2013 /CNW/ - Clearford
Industries Inc. ("Clearford" or the "Company"), (TSXV: CLI) today
announced that it has increased the available funding amount on its
previously announced 20 year term loan with Mundaun Financial
Design AG of Switzerland (the
"Lender") to C$8.54 million through
an amendment dated June 7, 2013. As
previously announced, the Company entered into a C$5.5 million term loan with the Lender on
March 16th, 2012 which was
subsequently increased to C$7.95
million through amendments to the original loan on
November 9, 2012, December 21, 2012, January
31, 2013, March 22, 2013 and
April 12, 2013.
In connection with the loan amendment, Clearford
will grant 750,000 non-transferrable warrants entitling the Lender
to purchase one treasury common shares of Clearford for each
warrant, at a price of $0.20 per
share, until three years from the closing date. The warrants are
subject to final approval by the TSX Venture Exchange. Common
shares of Clearford issued by exercise of the warrants will be
subject to a hold period until four months and one day from the
closing date of the loan and warrant transaction. Shareholder
approval was received at the Company's Annual General Meeting
("AGM"), allowing the Company to issue warrants which if exercised
would exceed 20% of the issued and outstanding shares of the
Company.
Clearford will pay a 10% fee to an arm's length
third party as amounts are advanced.
Additionally, The Company has also received
shareholder approval today at its AGM to amend its stock option
plan, the effect of which will be to increase the maximum number of
options in the pool to twenty percent of the issued and outstanding
shares of the Company based on the outstanding shares currently
outstanding. As a result the company may grant up to 13,169,510
options under the amended plan.
The Company also received disinterested
shareholder approval of Options granted to Mr. Kevin Loiselle, President and CEO which was
previously disclosed by the Company.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
About Clearford Industries Inc.
Clearford Industries Inc. (TSX-V: CLI) is the developer of the
patented Small Bore Sewer ™ (SBS™) based solution, which enables
the efficient collection and treatment of sewage. Its superior
operational and environmental performance is achieved at a
significantly lower operational cost when compared to historic
gravity sewers. Clearford's SBS™ technology and
industry expertise provide the enabling platform to deliver on a
global basis, a turnkey, wastewater collection and treatment
solution that is ideally suited for; water-scarce regions,
communities with unreliable water distribution networks, and new
developments seeking a greener approach to full water and
wastewater management. For more information on Clearford,
please visit www.clearford.com.
Forward Looking Statements
This news release contains certain statements that constitute
forward-looking statements as they relate to the Company and its
management. Forward-looking statements are not historical
facts but represent managements current expectation of future
events, and can be identified by words such as "believe",
"expects", "will", "intends", "plans", "projects", "anticipates",
"estimates", "continues" and similar expressions. Although
management believes that the expectations represented in such
forward-looking statements are reasonable, there can be no
assurance that they will prove to be correct.
By their nature, forward-looking statements
include assumptions and are subject to inherent risks and
uncertainties that could cause actual future results, conditions,
actions or events to differ materially from those in the
forward-looking statements. If and when forward-looking
statements are set out in this news release, Clearford will also
set out the material risk factors or assumptions used to develop
the forward-looking statements. Except as expressly required by
applicable securities law, the Company assumes no obligation to
update or revise any forward looking statements. The future
outcomes that relate to forward-looking statements may be
influenced by many factors, including, but not limited to: industry
cyclicality; the ability to secure third party agreements;
successful integration of Clearford's system with third party
technology; competition; reduction in demand for products;
collection from customers; relationships with suppliers; product
liability; intellectual property; reliance on key personnel;
environmental; interest rates; uninsured and underinsured losses;
operating hazards; risks of future legal proceedings; income tax
matters; credit facilities; availability and terms of financing;
distribution of securities; restrictions on potential growth;
effect of market interest rates on price of securities; and
potential dilution.
SOURCE Clearford Industries Inc.
