Zecotek Increases Non-Brokered Private Placement to $1.8 Million and Closes First Tranche of $1.5 Million
Singapore, October 12, 2012 – Zecotek Photonics Inc. (TSX-V: ZMS; Frankfurt: W1I), a developer of leading-edge photonics technologies for medical, industrial and scientific markets, today announced that the Company has increased the previously announced non-brokered private placement by $300,000. The Company is offering 5,000,000 units of the Company at a price of $0.36 per unit for gross proceeds of $1,800,000.
The Company also announces it has closed on the first tranche of the non-brokered private placement announced on September 18, 2012. The Company has sold 4,280,000 units of the Company at a price of $0.36 per unit for gross proceeds of $1,540,000.
Each unit consists of one common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to acquire one common share at an exercise price of $0.50 per common share at any time on or before the 24-month anniversary of the closing of the offering. The Warrant’s exercise period will automatically accelerate if the common shares of the Company trade above $1.00 for a period of
10 consecutive trading days.
Net proceeds from the funds raised will be used to complete licensing agreements and technology transfer for commercialization in the Company’s three operating division, to build and maintain patents of the IP portfolio and for general working capital purposes. All shares and warrants are subject to a four-month hold period.
Pursuant to the financing, the Company will pay finder’s fees of $126,000 and issued 350,000 non-transferable finder’s warrants. Each finder’s warrant entitles the holder to purchase one Share at $0.50 for a period of 24 months after the date the private placement closes. All shares and warrants are subject to a four-month hold period expiring on February 11, 2012.
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Zecotek Photonics Inc (TSX-V: ZMS; Frankfurt: W1I) is a photonics technology company developing high-performance scintillation crystals, photo detectors, positron emission tomography scanner technologies, 3D auto-stereoscopic displays, fiber lasers and waveguide micro lasers for applications in medical, high-tech and industrial sectors. Founded in 2003, Zecotek operates three divisional companies: Zecotek Imaging (medical, industrial and research), Zecotek Lasers (industrial and research) and Zecotek 3D (monitors for multimedia, entertainment, industrial and medical). The Company has labs located in Canada, Singapore and Russia, with affiliated R&D and production facilities in USA, China, and South Korea. Zecotek commercializes its novel, patented and patent-pending photonic technologies directly and through strategic alliances with multinational OEMs, distributors and other industry leaders. For more information, visit www.zecotek.com.
This press release may contain forward-looking statements that are based on management’s expectations, estimates, projections and assumptions. These statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Therefore, actual future results and trends may differ materially from what may have been stated.
For Additional Information Please Contact:
Zecotek Photonics Inc.
T: (604) 783-8291
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