TORONTO, CANADA - (Marketwire) - March 15, 2010
--
Atlantic Wind and Solar Inc. (PINKSHEETS: AWSL) is pleased to
announce that it was approached by Canada Green ESCO Inc. and that,
after being provided a term sheet, it has successfully completed a $120
million financing agreement with this leading green energy funding
company. The Agreement paves the way for Atlantic Wind and Solar, and
its wholly owned subsidiary Atlantic Solar Inc., to aggressively
proceed with its many solar projects and to expand its business in the
Ontario rooftop solar business with funding as required.
About Canada Green ESCO Inc.
Canada
Green ESCO Inc. (CanadESCO) is a privately owned, Canadian-based Energy
Service Company (ESCO), exclusively focused on energy efficiency for
Green Buildings. The Company designs, builds, maintains and FINANCES
energy efficient systems and offers turn-key Project Management &
Project Financing solutions.
As CanadESCO describes its
business,
"We utilize best-in-class Supply Chain Management with solar
panel and inverter manufacturers, engineering companies, real-estate
owners/developers and financing institutions from all around the world.
CanadESCO offers 100% financing to its customers (levered and
unlevered) comprised of large equity pools and low-interest debt. Our
financing is tax efficient and qualifies for flow-through common shares
tax deductions (CRCE) and accelerated depreciation (CCA 43.2)."
The Financing Agreement
Under
the terms of the Agreement, Canada Green ESCO Inc. will facilitate up
to 100% financing for the first round of projects, totaling $120 mil,
through a combination of debt and equity. While CanadESCO can
participate in up to as much as 100% of the equity portion, it is
Atlantic's intention to participate in no less than 20% of the equity
and as much as 50% in the case of a joint venture partnership with the
landlord. There will be up to 100% of the equity in projects owned
entirely by Atlantic. In any event, AWSL reserves the right to
participate in some or all of the equity in each rooftop solar project.
This
financing agreement is conditional upon receiving approval for each
project application from the Ontario Power Authority (OPA), which AWSL
management is confident will be received without undue delay. Providing
that all local content requirements are met, the OPA guarantees speedy
expediting of all FIT applications and ensures quick connection to the
grid in order to begin purchasing the power from these 250kw projects
for 20 years at 71.3 cents per kilowatt hour.
Atlantic will draw
down on the $120 million as each individual OPA FIT application
approval is received. Further details of each draw down financing will
be announced upon receipt of such approval(s) and funding draw down(s).
This initial $120 million project financing is expected to fund
all of AWSL's rooftop projects on hand and will also help to fund the
Company's aggressive rooftop solar marketing program and the ramp-up in
the manufacture of its high-performance inverters, the "heart" of its
solar energy systems.
"We at CanadESCO are pleased to have
signed this initial Financing Agreement with Atlantic Wind and Solar
Inc. and look forward to a long and prosperous relationship during
which we hope to facilitate further funding to support AWSL's long term
growth trajectory."
David Schenk - Canada Green ESCO Inc.
AWSL... Poised for Growth
The
Financing Agreement with CanadESCO is expected to fully fund AWSL's
current rooftop solar projects and to also support aggressive marketing
and other key aspects of corporate growth in the months ahead. Atlantic
Wind and Solar Inc. is also involved in discussions regarding
additional technologies and prospective agreements aimed at broadening
the Company's exposure to growth in the multibillion dollar Renewable
Energy industry, both at home and abroad. The Company also awaits
approval concerning additional senior financings that will fund these
business expansions and Renewable Energy endeavors.
Sales and Marketing Contacts
Property
owners and managers with unobstructed commercial rooftops of 30,000 s/f
or bigger in the Province of Ontario, Canada, and for which they are
interested in possibly leasing to AWSL, are invited to contact Mr.
Charles Mazzacato +1 800 891 1657 ext. 230. All other Renewable Energy
system enquiries are asked to contact Mr. Gilles Trahan +1 800 891 1657
ext. 221.
For further coporate information and/or to subscribe
for regular news updates from Atlantic Wind & Solar, please visit:
www.atlanticwindandsolar.com
Disclaimer:
Shareholders
and investors are strongly cautioned against placing undue reliance on
information set forth in these communications in making any investment
decisions concerning our securities.
The matters set forth in
this press release are forward-looking statements within the meaning of
the "safe harbor" provisions of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are subject to
risks and uncertainties that may cause actual results to differ
materially. These risks are detailed from time to time in the Company's
periodic reports filed with the Securities and Exchange Commission
including the company's Annual Report, Quarterly Reports and other
periodic filings. These forward-looking statements speak only as of the
date hereof. The Company disclaims any intent or obligation to update
these forward-looking statements.
Investor Relations Contact:
Geneva Bancorp.
Mr. Brent O'Connor
+1 (416) 900-0380 ext.223
Email Contact
Source: Atlantic Wind & Solar Inc.