SOURCE: GreenPower Motor Company Inc.

GreenPower Motor Company Inc.

December 16, 2015 09:15 ET

GreenPower Announces Closing of Private Placement of Convertible Debentures

VANCOUVER, BC--(Marketwired - December 16, 2015) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

GreenPower Motor Company Inc. (TSX VENTURE: GPV) (OTCQB: GPVRF) ("GreenPower" or the "Company") announces the closing of the non-brokered private placement of convertible debentures (the "Debentures") for gross proceeds of $777,000. One of the directors of the Company participated in this private placement for $230,000.

The terms of the Debentures include:

  • the Debentures mature three years after issuance (the "Maturity Date"), and the principal amount of the Debentures, together with accrued and any unpaid interest, will be payable on the Maturity Date;
  • the Debentures bear interest ("Interest") at a rate of 8% per annum, which Interest will be payable annually;
  • the principal amount of the Debentures is convertible into common shares of the Company ("Shares") at a price of $0.40 per Share at any time, until the Maturity Date;
  • the Company has issued 1,126,650 non-transferrable common share purchase warrants (each, a "Debenture Warrant"), with each Debenture Warrant exercisable into one Share at an exercise price of $0.50 per Share in the first year after issuance, $0.75 per Share in the second year after issuance and $1.00 per Share in the third year after issuance, subject to adjustment; and
  • the Company may, at any time after the second anniversary of the issuance date and prior to the Maturity Date, repay the principal amount and any accrued and unpaid Interest of the Debentures.

The Shares issuable upon conversion of the Debentures or exercise of the Debenture Warrants are subject to a statutory hold period expiring on April 12, 2016. Finder's fees of $2,350 were paid to arm's length finders in connection with the private placement. The closing of this private placement has been approved by the TSX Venture Exchange.

After paying the costs of the private placement, the net proceeds will be primarily used for production of electric buses, as well as testing, sales and marketing, and general working capital.

About GreenPower Motor Company Inc.

GreenPower Motor Company Inc. develops electric powered vehicles for commercial markets. GreenPower offers a range of electric powered buses deploying electric drive and battery technologies with a lightweight chassis and low floor or high floor body. GreenPower's bus is based on a flexible clean sheet design and utilizes a custom battery management system and a proprietary Flex Power system for the drive motors. GreenPower sources and integrates key vehicle components from global suppliers, such as Siemens for the two drive motors, Knorr for the brakes, ZF for the axles and Parker for the dash and control systems. This OEM platform allows GreenPower to meet the specifications of various operators while providing standard parts for ease of maintenance and accessibility for warranty requirements. For further information go to www.greenpowerbus.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

© 2015 GreenPower Motor Company Inc. All rights reserved.

Contact Information

  • For further information contact:
    Fraser Atkinson
    Chairman
    (604) 220-8048