NR - ATF Closes Special Warrant Financing
Attention Business Editors:
Alternative Fuel Systems Inc. Closes Special Warrant Financing
ATF: CDNX
CALGARY, Oct. 12 /CNW/ - Further to Alternative Fuel Systems Inc.'s (the
"Corporation") (CDNX: ATF) press release dated September 19, 2000, the
Corporation is pleased to announce that it has closed the sale of 7,009,065
special warrants through its agents, Acumen Capital Finance Partners Limited
and Octagon Capital Corporation (the "Agents"), for gross proceeds of
$10,513,597.50.
Each special warrant is exercisable, for no additional consideration,
into one share of the Corporation and 0.5 of one common share purchase warrant
(a "Warrant"). Each whole Warrant will entitle the holder to purchase a common
share at a price of $1.80 on or before April 12, 2002. The Company also issued
the Agents 700,907 Compensation Warrants which are exercisable for no
additional consideration into 700,907 Compensation Options, each Compensation
Option entitling the Agent to acquire one share and one-half of one Warrant on
or before April 12, 2002.
The Special Warrants, Compensation Warrants and all securities issuable
under them (the "Underlying Securities") are subject to a twelve-month hold
period (18 months for purchasers in Ontario). The Underlying Securities will
not be subject to a hold period after the Corporation receives a receipt for a
final prospectus which is expected to occur on or before December 22, 2000.
Commenting on the financing, AFS President and Chief Executive Officer,
John C. Anderson said "We now have sufficient funds available to move AFS to
the next level of product commercialization. We are very enthused by the
worldwide response we are receiving on our natural gas engine technologies. We
very much appreciate the confidence shown by our new and existing investors
and look forward to the evolution of these exciting technologies".
Alternative Fuel Systems Inc. is an environmental technology company
providing innovative solutions to the global engine exhaust emissions problem.
AFS has developed and commercialized electronic engine management technologies
that enable diesel and gasoline engines to operate using natural gas, and is
at the forefront of research into exhaust aftertreatment technology. AFS is
headquartered in Calgary, Canada and trades on the CDNX as ATF.
The Canadian Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
-0- 10/12/2000
For further information: Chris Martin, Chief Financial Officer of the Corporation at (403) 262-1833 Email: investor@afsglobal.com, Website: www.afsglobal.com To request a free copy of this organization's annual report, please go to www.newswire.ca and click on reports@cnw. |
