Genoil Inc.
OTC Bulletin Board : GNOLF

Genoil Inc.

February 22, 2010 19:05 ET

Genoil Inc. Announces Closing of Private Placement and Shares for Debt Transaction

CALGARY, ALBERTA--(Marketwire - Feb. 22, 2010) - Genoil Inc. (TSX VENTURE:GNO) (OTCBB:GNOLF) (the "Corporation") is pleased to announce that it has closed the second and final tranche of the private placement initially announced on February 3, 2010 (the "Offering"). Subsequent to the closing of the first tranche of the Offering announced on February 3, 2010, the Corporation has issued an additional 1,154,615 Units, at a price of U.S. $0.13 per Unit, each Unit consisting of one common share and one common share purchase warrants ("Warrants") for additional gross proceeds of U.S. $150,100. The Warrants are exercisable until two years following their issue date at a price of U.S. $0.20.

Following the closing of this second tranche of the Offering, the Corporation has issued an aggregate 5,866,920 Units for aggregate gross proceeds of U.S. $762,699.95 under the Offering. The common shares and Warrants issued in connection with this Offering are subject to a four-month hold period.

Genoil has also completed an additional shares for debt transaction to satisfy amounts outstanding to a certain lender (the "Creditor") of the Corporation. Common shares were issued pursuant to a debt cancellation agreement between the Corporation and the Creditor, whereby the Creditor agreed to forgive and cancel debts currently owing to such Creditor by the Corporation. The total debt owing to the Creditor which has been cancelled is an aggregate amount of U.S.$105,103.22, which amounts have been cancelled in exchange for issuance of an aggregate of 808,486 common shares. The common shares issued to the Creditor are subject to a four-month hold period.

The securities to be issued by the Corporation have not and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or the securities laws of any state of the United States, and may not be offered or sold in the United States absent registration or an applicable exemption therefrom under the 1933 Act and the securities laws of all applicable states.

Genoil is an international engineering technology development company based in Alberta, Canada, that develops innovative hydrocarbon, oil and water separation, and marine technologies for the oil and gas and commercial marine industries. Genoil's shares are listed on the TSX Venture Exchange under the symbol GNO, as well as on the OTC Bulletin Board under GNOLF.OB.

ADVISORY: The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.

Contact Information

  • Genoil Inc.
    David Lifschultz
    Chairman and CEO
    (212) 688-8868