SOURCE: GreenMan Technologies Inc

January 25, 2007 16:10 ET

GreenMan Technologies Files Registration Statement Associated With December 2003 and June 2006 Financing Transactions

SAVAGE, MN -- (MARKET WIRE) -- January 25, 2007 -- GreenMan Technologies, Inc. (OTCBB: GMTI), a recycler of over 12 million scrap tires in the United States, today announced the filing of a registration statement with the Securities and Exchange Commission with respect to the resale by certain security holders of up to 4,140,426 shares of common stock including (i) 553,997 shares of common stock issuable upon exercise of a warrant associated with a December 2003 promissory note and (ii) 3,586,429 shares of common stock issuable upon exercise of a warrant associated with a June 2006 financing transaction completed with Laurus Master Fund, Ltd. ("Laurus").

Pursuant to the terms of the June 2006 financing, Laurus has agreed that it will not, on any trading day, be permitted to sell any common stock acquired upon exercise of its warrant in excess of 10% of the aggregate numbers of shares of the common stock traded on such trading day. The amount of our common stock Laurus may hold at any given time is limited to no more than 4.99% of our outstanding common stock. These limitations may be waived by Laurus upon certain notice to us.

A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time that the registration statement becomes effective. This release shall not constitute an offer to sell, or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

A copy of the preliminary prospectus relating to these securities may be obtained when available from GreenMan Technologies, Inc., 12498 Wyoming Avenue South, Savage, Minnesota, 55378, attention Chuck Coppa, CFO.

GreenMan was founded in 1992 and today operates facilities in Iowa and Minnesota which collect, process and market over 12 million scrap tires in whole, shredded or granular form. Our products are used as an efficient alternative fuel by pulp and paper producers and electric utilities; as a substitute for crushed stone in civil engineering applications, such as road beds, landfill and septic field construction; or as crumb rubber which is used for playground and athletic surfaces, running tracks and landscaping/groundcover applications.

"Safe Harbor" Statement: Under the Private Securities Litigation Reform Act

With the exception of the historical information contained in this news release, the matters described herein contain 'forward-looking' statements that involve risk and uncertainties that may individually or collectively impact the matters herein described, including but not limited to the possibility that we may not be able to secure the financing necessary to return to profitability, the possibility that the delisting of our stock by the American Stock Exchange could substantially limit our stock's future liquidity and our ability to raise capital, the possibility that we may not realize the benefits of product acceptance, economic, competitive, governmental, seasonal, management, technological and/or other factors outside the control of the Company, which are detailed from time to time in the Company's SEC reports, including the annual report on Form 10-KSB for the fiscal period ended September 30, 2006. The Company disclaims any intent or obligation to update these "forward-looking" statements.

Contact Information

  • Contacts:
    Chuck Coppa, CFO
    Lyle Jensen, CEO
    GreenMan Technologies