Canadian Manufacturing

Northstar Clean Technologies and Renewable U Energy enter financing agreement for asphalt shingle facility

by CM Staff   

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The Transaction includes a non-brokered private placement of $1.95 million to Renewable U of up to 4,875,000 Common Shares.

Northstar Clean Technologies Inc. (CNW Group/Northstar Clean Technologies Inc.)

VANCOUVER — Northstar Clean Technologies Inc. and Renewable U Energy Inc. announce that they have entered into a binding term sheet for a strategic financing of debt and securities, for Northstar’s proposed Phase 1 plan of building and constructing three scale-up asphalt shingle reprocessing facilities in Calgary, and, as presently intended, both the greater Toronto area and the Pacific Northwest, USA.

Mr. Aidan Mills, President & CEO and Director of Northstar, stated, “Over the last several months, we evaluated detailed proposals from a wide variety of potential funding partners and considered each in considerable detail, both quantitatively and qualitatively. At the end of this extensive process, Renewable U was our most attractive financing option. We are delighted to partner with Renewable U on the strategic financing of our Phase 1 Expansion Program. We believe this financing option effectively advances our strategy of creating stakeholder value by both minimizing dilution and securing debt funding for our first three facilities. With Renewable U, we have a long-term partner that fully understands our business and we now look forward to building a long-term relationship together through the successful delivery of our leading-edge technology. With debt funding for three facilities secured, this not only gives us the ability to fully focus on the delivery of the Empower Calgary Facility, but also progress the development for the following two facilities without the significant distraction of seeking additional funders. Strategically, this partnership provides Northstar with a solid funding platform, which is exactly the outcome we hoped for from our funding process.”

Mr. Raphael Bohlmann, CEO and Director of Renewable U, stated, “In accordance with Renewable U’s corporate mandate to create economic prosperity while helping to preserve our world for future generations, we could not be more pleased to announce this funding partnership with Northstar. Northstar’s Phase 1 Expansion Program is precisely the type of strategic partnership Renewable U seeks to fund in the clean technology sector. Renewable U recognizes the value of this leading-edge technology and, combined with a solid financial model, look forward to a highly successful and rewarding partnership that will also have a positive environmental impact.”

The Transaction includes a non-brokered private placement of $1.95 million to Renewable U of up to 4,875,000 Common Shares.

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