Echelon Capital Corporation

September 13, 2007 11:21 ET

Echelon Capital Corporation Completes Initial Public Offering

TORONTO, ONTARIO--(Marketwire - Sept. 13, 2007) - Echelon Capital Corporation (the "Corporation") is pleased to announce that it has completed its initial public offering of 1,200,000 common shares at a price of $0.25 per share for gross proceeds of $300,000. Following the closing of the offering, a total of 2,360,000 common shares of the Corporation are issued and outstanding, of which 1,160,000 are currently held in escrow pursuant to the policies of the TSX Venture Exchange.

The net proceeds of the offering, together with the proceeds from prior sales of common shares, will be used by the Corporation to identify and evaluate assets or businesses for acquisition with a view to completing a "Qualifying Transaction" under the capital pool company program of the TSX Venture Exchange.

Haywood Securities Inc. acted as agent for the initial public offering. In connection with the offering, the Corporation granted to the agent non-transferable options to acquire up to an aggregate of 100,000 common shares. The agent's options may be exercised any time prior to the date that is 24 months following the date that the common shares are listed on the TSX Venture Exchange. In connection with the offering, the agent also received a commission equal to 7.5% of the aggregate gross proceeds from the sale of the common shares.

At the closing of the offering, the Corporation also granted stock options to directors and officers exercisable to acquire up to an aggregate of 188,800 common shares. The options may be exercised any time prior to September 13, 2012 at a price of $0.25 per share.

The current directors and officers of the Corporation are John Eckert, President, Chief Executive Officer, Chief Financial Officer, Secretary, Treasurer and Director, John McBride, Director, Loudon Owen, Director, and Glenn Rumbell, Director.

The Corporation's common shares have been conditionally approved for listing on the TSX Venture Exchange. It is anticipated that the common shares will commence trading on the TSX Venture Exchange on or about September 17, 2007 under the stock symbol "ECO.P".

For further information, please see the prospectus of the Corporation dated June 14, 2007 filed on SEDAR at www.sedar.com.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Echelon Capital Corporation
    John Eckert
    President, Chief Executive Officer
    and Chief Financial Officer
    (416) 363-2000