VICTORIA, BRITISH COLUMBIA--(Marketwired - April 2, 2013) - E.S.I. Environmental Sensors Inc. ("ESI" or the "Company") (TSX VENTURE:ESV) is pleased to announce the closing of a "Shares for Debt" transaction for the settlement of $1,440,995 of debt in exchange for the issuance of 28,899,906 common shares and 4,679,486 warrants. The debt settlements consist entirely of shareholder loans made to the Company and accumulated interest on those loans. All shares issued will have a four month hold period ending on July 26, 2013. The transaction has been accepted by the TSX Venture Exchange (the "Exchange").
The Company's largest shareholder, Avis Financial Corporation ("Avis Financial"), has been issued 23,979,300 common shares in exchange for the settlement of $1,198,965 in shareholder loans and accumulated interest. No warrants have been issued to Avis Financial. With the closing of this transaction, Avis Financial now owns 59.8% of ESI (Avis Financial previously held 54.1% of the issued and outstanding common shares of the Company).
The warrants issued in connection with the transaction are exercisable for a period of three years, expiring on March 28th, 2016 and have an exercise price of $0.10 during the first year, $0.15 during the second year, and $0.20 during the third year. Warrants have been issued only to arms-length parties.
ESI is a leading manufacturer of patented and proprietary solutions for environments where understanding the presence, movement, and/or amount of water are important. Major market sectors include: agriculture, golf and turf, scientific research, civil engineering, mining, environmental monitoring and crude oil production. ESI solutions have been successfully introduced into more than 40 countries to enable customers to optimize their operations by monitoring the presence and movement of water, managing irrigation systems, and monitoring the integrity of landfill covers. In addition, ESI's Flo·Point™ instrument has been deployed in the oil industry to measure the volumetric presence of water pumped during crude oil extraction for characterization and optimization of the process. ESI differentiates itself by translating the best technology and science available into practical, easy to use solutions. Irrigation managers, reservoir engineers, and scientists have adopted ESI's products for their accuracy, ease of use, repeatability, and ability to operate in challenging environments. ESI is publicly traded on the TSX Venture Exchange under the symbol "ESV". Further information about ESI may be obtained through the Company's website at www.esica.com.
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