Energy Plug Closes Final Tranche of Non-Brokered Private Placement

Rhea-AI Summary

Energy Plug Technologies Corp (CSE: PLUG) (OTCQB: PLGGF) has completed the final tranche of its non-brokered private placement, raising $185,010 through the issuance of 2,643,000 units at $0.07 per unit. Combined with the previous tranche, the total gross proceeds reached $1,200,194 from 17,145,624 units.

Each unit consists of one common share and one purchase warrant exercisable at $0.10 per share for one year. The warrants include an acceleration clause if shares trade at $0.15 or higher for 20 consecutive days. The securities have a four-month plus one-day hold period.

The company will use proceeds for R&D, product certification, trade payables repayment, and working capital. A finder's fee of $14,000 and 200,000 Finder's Warrants were issued to Canaccord Genuity Corp.

Positive

• Successfully raised $1.2M in total gross proceeds
• Secured additional working capital for R&D and product certification

Negative

• Significant shareholder dilution through issuance of 17.1M new units
• Low unit pricing at $0.07 indicates weak market valuation
• Additional potential dilution from 17.1M warrants if exercised

Vancouver, British Columbia--(Newsfile Corp. - January 6, 2025) - Energy Plug Technologies Corp. (CSE: PLUG) (OTCQB: PLGGF) (FSE: 6GQ) ("Energy Plug" or the "Company"), is pleased to announce that, further to its press releases dated December 2, 2024, it has closed the second and final tranche of its non-brokered private placement (the "Private Placement"), issuing 2,643,000 units (each, a "Unit") at a price of $0.07 per Unit for gross proceeds of $185,010. Further to the Company's news releases dated December 24, 2024, the Company has raised total gross proceeds of $1,200,194 through the issuance of 17,145,624 Units in the Private Placement.

Each Unit is comprised of one common share and one common share purchase warrant (the "Warrant") having an exercise price of $0.10 per share and a term of one year from the date of closing of the Private Placement ("Closing Date"). The Warrant is subject to acceleration clause whereby in the event that at any time after four months following the Closing Date, the common shares of the Company have traded for twenty (20) consecutive trading days at a closing price of at least $0.15 per share on the Canadian Securities Exchange (the "CSE"), the Company may accelerate the expiry date of the Warrants to the date that is not less than twenty-one (21) days following the date upon which the notice of the accelerated expiry date is provided by the Company to the warrant holders by way of news release.

The securities issued as part of the Private Placement will be subject to a regulatory hold period of four months plus one day from the date of issue. The Company intends to use the net proceeds raised from the Private Placement for research and development, product certification, repayment of trade payables, and general working capital.

In connection with a portion of the final tranche of the Private Placement, a cash finder's fee of $14,000 was paid, and 200,000 Finder's Warrants were issued to Canaccord Genuity Corp. The Finder's Warrants have the same terms as the Warrants issued with the Units.

About Energy Plug Technologies Corp.

Energy Plug Technologies Corp. is an energy technology company dedicated to innovation and sustainability. With a focus on energy storage applications for residential, commercial, and utility sectors, the company advances battery technologies to enhance energy management and grid resiliency. Based in British Columbia, Energy Plug partners with leading technology companies and Indigenous communities to deliver cutting-edge solutions. For more information, visit https://energyplug.com.

Contact Information

Energy Plug Technologies Corp.

Paul Dickson
CEO
paul@energyplug.com
(778)875.8899

Forward-Looking Statements

This news release contains forward-looking information within the meaning of applicable securities legislation. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "will", "proposes", "expects", "seeks", "estimates", "intends", "anticipates" or "believes", or variations (including negative and grammatical variations) of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. This information and these statements, referred to herein as "forward‐looking statements", are not historical facts, are made as of the date of this news release and include without limitation, statements regarding discussions of future plans, estimates and forecasts and statements as to management's expectations and intentions with respect to, among other things: the anticipated use of any proceeds raised under the Private Placement.

These forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things: delays in obtaining or failures to obtain required regulatory approvals for the Private Placement from the CSE; market uncertainty; and the inability of the Company to apply the proceeds of the Private Placement as intended.

Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that forward-looking statements contained in this press release are made as of the date of this press release. The Company disclaims any intention to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Investment in the securities of the Company is risky.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/236111

FAQ

How much did Energy Plug Technologies (PLGGF) raise in its private placement?

Energy Plug Technologies raised total gross proceeds of $1,200,194 through the issuance of 17,145,624 units in the private placement.

What is the exercise price and term of PLGGF's warrants from the January 2025 placement?

The warrants have an exercise price of $0.10 per share and a term of one year from the closing date.

What are the acceleration terms for PLGGF's warrants?

The warrants can be accelerated if Energy Plug's shares trade at $0.15 or higher for 20 consecutive trading days, with 21 days notice to holders.

How will Energy Plug Technologies (PLGGF) use the private placement proceeds?

The proceeds will be used for research and development, product certification, repayment of trade payables, and general working capital.

What finder's fees did PLGGF pay for the final tranche of the private placement?

Energy Plug paid a cash finder's fee of $14,000 and issued 200,000 Finder's Warrants to Canaccord Genuity Corp.