Epstein Enterprises Inc.

September 17, 2009 20:31 ET

Epstein Enterprises Inc. Announces It Has Subscribed for a Convertible Debenture Issued by Kelman Technologies Inc.

TORONTO, ONTARIO--(Marketwire - Sept. 17, 2009) - Epstein Enterprises Inc. ("EEI"), a corporation controlled by Seymour Epstein, Chairman of the Board of Directors and major indirect shareholder of Kelman Technologies Inc. ("Kelman"), today announced that as described in a press release of Kelman dated September 16, 2009 as filed on SEDAR, Kelman has issued to EEI a CDN$500,000 principal amount convertible debenture, which bears interest at the Prime Rate of the Royal Bank of Canada in effect from time to time plus ten (10%) percent due in four years, in exchange for a cash payment from EEI of CDN$500,000. All or any portion of the original principal amount of the debenture is convertible, at the option of EEI, into common shares in the capital of Kelman at a conversion price of $2.76 per common share (the weighted average trading price of the common shares from the consolidation on August 14, 2009 until September 4, 2009), at any time on or prior to maturity.

Following the subscription for the debenture, Seymour Epstein and entities controlled by him beneficially own or control approximately 72% of the outstanding common shares of Kelman, assuming exercise of all rights to acquire common shares of Kelman by entities affiliated with Seymour Epstein.

Contact Information