Omnitech Consultant Group inc.
TSX VENTURE : GCO

Omnitech Consultant Group inc.

September 26, 2005 11:28 ET

GCO Closes $5.6 Million in Financing

QUEBEC CITY, QUEBEC--(CCNMatthews - Sept. 26, 2005) - Claude Belley, President and Chief Executive Officer of Omnitech Consultant Group Inc. ("GCO") (TSX VENTURE:GCO) announces the closing of a $5.6 million financing through the issuing of convertible debentures in the amount of $1,500,000, of which $1,350,000 is from SIPAR Inc., and credit facilities totaling $4,100,000 from Laurentian Bank.

The debentures carry a 14% coupon payable quarterly, and mature on September 21, 2008 (the "Maturity Date"). The debentures can be converted at any time at the holder's option, initially at a conversion price of $0.70 per unit (a "Unit") until September 21, 2007, and at $0.77 per unit between September 22, 2007 and September 21, 2008. Each Unit is composed of one common share of GCO (a "Share") and one warrant (a "Warrant"). The exercise price of a Warrant is equal to the conversion price of the debentures at the time they are converted. A Warrant can be exercised on the closest of the following dates: (i) two years after they are issued and (ii) September 21, 2008. The credit facilities include a term loan of $1,900,000 for a duration of 48 months, and a line of credit of $2,200,000. These are guaranteed by a mortgage on the totality of GCO's and Groupe ISAC's assets.

"This financing has allowed us to close the acquisition of ISAC and the recent offers of acquisition we have announced, and will also finance our working capital. We are very pleased to be able to count on the financial support of SIPAR Inc. and the Laurentian Bank," says Claude Belley, President and Chief Executive Officer of GCO.

About Omnitech Consultant Group Inc. ("GCO")

GCO operates in the engineering, information technology and systems maintenance sectors. GCO is capable of intervening in all aspects of industrial engineering and information technology (IT), thus combining a major and distinctive niche in comparison with the competition. GCO integrates new technologies or optimizes existing systems by applying cutting-edge expertise currently used in the best practices.

The TSX Venture Exchange assumes no responsibility with regard to the relevance or accuracy of this press release.

Contact Information

  • Omnitech Consultant Group Inc.
    Claude Belley
    President
    (418) 626-9090
    or
    Paradox Public Relations
    Eric Leboeuf
    President
    (514) 341-0408
    or
    Omnitech Consultant Group Inc.
    Philippe R. Bertrand
    Vice President, Communications and Public Affairs
    (418) 626-9090
    philippe.bertrand@gco.ca