VICTORIA, BRITISH COLUMBIA--(Marketwired - Jan. 21, 2014) - E. S. I. Environmental Sensors Inc. ("ESI" or the "Company") (TSX VENTURE:ESV) is pleased to announce the closing of the Company's private placement for gross proceeds of $548,676.60. The Company closed the private placement in two tranches. The Company has issued a total of 10,973,532 common shares and 400,000 common shares for finder's fees. As well, the Company has issued 10,973,532 warrants (a "Warrant"). Each Warrant is exercisable into an additional common share for a period of three years from the date of issuance. The Warrants will be exercisable at a price of $0.10 for the first year following the closing of the transaction, $0.15 for the second year following closing, and $0.20 for the third year following closing.
The TSX Venture Exchange has ("Exchange") accepted the Company's filings with respect to the private placement. The proceeds from this financing will be used for general working capital purposes. The Company has issued 400,000 common shares as payment of finder's fees and also $2,667.66 in cash finder's fees.
Due to the fact that the private placement was completed in two tranches, there are two hold period expiry dates and two warrant expiry dates associated with the shares and warrants issued. The first tranche four month hold period on 7,190,000 common shares expires March 18, 2014; the second tranche four month hold expires on 4,183,532 common shares expires May 6, 2014. Any common shares issued as the result of conversion of warrants will also be subject to the same hold periods. In addition, 6,940,000 warrants will expire on November 18, 2016, while 4,033,532 warrants will expire on January 6, 2017.
The new issued and outstanding common shares of the Company now total 158,714,160. Avis Financial Corporation ("AFC"), the Company's majority shareholder invested a further $176,000 in ESI, purchasing 3,520,000 common shares and warrants through the private placement. After the closing of the private placement AFC now owns 57.7% of the Company, a decrease of 2% from their prior ownership level.
The Company also wishes to announce that Stephan Radermacher, the Chairman of the Board of Directors for ESI, has been appointed to act as Interim CEO of the Company. Mr. Radermacher has been serving as Chairman of the Board of ESI since his appointment in 2011.
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 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. The Company's Flo·Point™ instrument was designed for 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.esisensors.com.
On behalf of the Company:
Bernard Beauchesne, Chief Operating Officer
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