DCH Receives Funding Commitment
VALENCIA, Calif., Aug. 29 /PRNewswire/ -- DCH Technology, Inc. (Amex: DCH), a manufacturer of hydrogen fuel cells and hydrogen-specific sensors and global provider of hydrogen safety services, announced it has signed a stock purchase agreement with Swartz Private Equity, LLC of Atlanta, Georgia -- a highly respected regional private equity investor -- for up to two million shares of DCH common stock. Under the agreement, DCH retains the right to determine if, when, and how much common stock Swartz may purchase off DCH's shelf registration already in effect, subject to limitations based upon the trading volume of the company's common stock.
"We believe in the potential of alternative energy, we are very attracted to DCH's unique fuel cell and hydrogen sensing technologies, and we like their position in several niche markets," said Eric Swartz, Manager of Swartz Private Equity. "We are pleased to secure what we believe will be a long-term relationship."
"This is a very financially sound agreement for DCH in that we completely control the timing of the placement of our shares," said DCH Chief Financial Officer Ron Ilsley.
"We are aggressively seeking out alternative capitalization avenues for the company -- this is just one," he said. "Our focus is to secure longer term funding that will provide us with the financial flexibility to fund our operations until we reach a positive cash flow."
Swartz Private Equity, LLC is a private equity fund specializing in investments in small capitalization development stage companies.
For additional information, please contact Investor Relations at 661-775-4380 or at invest@dcht.com. Web page: dcht.com
Safe Harbor: This press release includes statements that are considered "forward-looking" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect DCH Technology's current views about future events and performance. Investors should not rely on these statements because they are subject to a variety of risks, uncertainties and other factors that could cause actual results to differ materially from expectations. These factors include, but are not limited to, the cost of development and market acceptance of DCH's sensor-based systems and fuel cells, competition, the cost and availability of materials, governmental regulations, and other factors detailed in DCH Technology's filings with the Securities and Exchange Commission.
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SOURCE DCH Technology, Inc.
CO: DCH Technology, Inc.; Swartz Private Equity, LLC |
