- Eguana Technologies (EGT) announced a C$33 million investment by ITOCHU Corporation in the form of an unsecured convertible debenture
- The debenture, carrying an annual interest rate of seven per cent, will mature and be repayable in three years
- ITOCHU’s investment will provide Eguana with access to working capital to achieve business growth objectives
- Eguana has elected to complete its second tranche draw of US$5 million from Western Technology Investment
- Eguana Technologies designs and manufactures high-performance residential and commercial energy storage systems
- Eguana Technologies Inc. (EGT) opened trading at C$0.41
Eguana Technologies (EGT) announced a C$33 million investment by ITOCHU Corporation in the form of an unsecured convertible debenture.
The debenture is convertible into common shares of Eguana at C$0.50 per share.
The debenture will mature and be repayable in three years. The Debenture will carry a seven per cent annual interest rate, compounded semi-annually and payable semi-annually. Interest may be paid, in whole or in part, by issuing common shares to ITOCHU.
ITOCHU may convert all or a portion of the principal amount outstanding under the debenture into common shares.
ITOCHU’s investment will provide Eguana with access to working capital to achieve business growth objectives globally.
“ITOCHU, a key partner of Eguana for many years, remains at the global forefront of the renewable energy transition with expertise and access throughout the entire renewables supply chain” commented Eguana CEO Justin Holland.
“Growth capital of this magnitude will allow us to accelerate key inventory investments across all product lines and expedite Eguana Cloud and battery module/battery management system development.”
Proceeds will be used to fund working capital and general corporate expenditures. The financing is expected to close on or around August 31, 2022. All securities issued will be subject to a statutory four month holding period.
In addition, further to the company’s previously announced loan agreement with Western Technology Investment (WTI), Eguana has elected to complete its second tranche draw of US$5 million.
“The rapid interest and uptake of storage and micro inverters is expected to accelerate our growth and will be supported by the additional capital from WTI. This additional capital will immediately augment procurement for micro inverters and strengthen our inventory position in North America” Holland added.
Eguana Technologies designs and manufactures high-performance residential and commercial energy storage systems.
Eguana Technologies Inc. (EGT) opened trading at C$0.41.