SOURCE: Trimax Corporation

February 20, 2007 01:00 ET

Trimax Draws Down Funds From Private Placement Financing to Fulfill Initiatives

TORONTO -- (MARKET WIRE) -- February 20, 2007 -- Trimax Corporation (OTCBB: TMXO) and its wholly-owned subsidiaries, PLC Network Solutions, Inc. (PLC), and Multi-Source, Inc. (MSI), which provide Broadband over Powerline (BPL) communication technologies, announced that during its first quarter Trimax drew down $150,000 from its $3,000,000 private placement financing by a private non-U.S. accredited group of investors as previously announced on May 31, 2006.

The funds are drawn down in tranches at Trimax's option and mature May 14, 2009 at an annual interest rate of 12%. At the investor's option, the loan is convertible to common shares at the prior 20 day average price. Each common share has one purchase warrant attached, and each warrant is exercisable for one common share until May 14, 2009.

The group of investors have a right of first refusal regarding Trimax's next round of financing, which the company is presently negotiating. Trimax's low stock price has been a major factor in the company's conservative draw down requests; however, the company expects future draw-downs to be exercised at more favorable price levels.

Proceeds from the private placement provide Trimax with the financial resources to capitalize on the acquisitions, contracts, pilots and partnership opportunities it has closed or been cultivating in recent months. The funds will be instrumental in the second phase of the company's deployment in Manta, a city that has been selected by Hutchinson Port Holdings to build a super port. It is expected that the population of Manta will double within the next 5 years as it houses workers and attracts new businesses, creating a demand for energy that the local electric utility will not easily satisfy unless they install an AMR solution that helps stop energy losses and positions the company in a better financial state.

Trimax's AMR (automatic meter reading) products have been exclusively designed for emerging economies where energy loss and theft is a problem. In the Manta pilot, our technology pin-pointed the local utility's billable losses of 42.36% in an industrial area. With this kind of energy recovery, the ROI can easily be recovered within 6 to 10 months. "This is the tamper-proof solution we were looking for in order to turn our company profitable. It also offers real-time data that enable us to balance the power load during peak-demand hours," said Gaston Navarrete, President of Emelmanabi. The company's initiatives in Ecuador have been very successful but have recently slowed due to the transition of the country's newly elected government.

About Trimax / MSI / PLC

Trimax and its wholly owned subsidiaries Multi-Source Inc. and PLC Networks Inc. are providers of Broadband over Power Line (BPL) communication technologies. Trimax/MSI/PLC specializes in the development, distribution, implementation, and servicing technologies that use the power grid to deliver 128-bit encrypted high-speed symmetrical broadband for data, voice and video transmission. BPL is a disruptive communications technology that turns the existing ubiquitous power line infrastructure and common electrical wiring in commercial and residential buildings into a high-bandwidth network. Broadband is delivered simultaneously on a single platform, to every electrical outlet throughout the home or business. To connect, users simply plug a modem into any electrical outlet, and plug their computer, phone, security camera or IP device into the modem.

Statements included in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of risks and uncertainties such as competitive factors, technological development, market demand and the Company's ability to obtain new contracts and accurately estimate net revenues due to variability in size, scope and duration of projects, and internal issues in the sponsoring client. Further information on potential factors that could affect the Company's financial results, can be found in the Company's Annual and Quarterly Filings and in its Reports on Forms 8-K filed with the Securities and Exchange Commission (SEC).

Investor Relations

This press release has been submitted to for investors to vote on and help move into the TOP 10 of the day. Investors can locate the release by using the industry filter or searching by company name and/or stock symbol.

For More Information Please Visit ( (

Contact Information