Zecotek Closes Non-Brokered Private Placement for $3.5 million
Vancouver, February 19, 2007 - Zecotek Medical Systems Inc. (TSX-V: ZMS; Frankfurt: W1I.F) today reported that it has closed its previously announced non-brokered private placement for gross proceeds of $3,500,000. Due to strong investor demand the original $2,000,000 private placement announced on January 25, 2007, was increased to $3,000,000 on January 30, 2007, then subsequently increased to $3,500,000 on closing. Under the terms of the private placement, 3,043,478 common shares were issued at $1.15 per share.
Net proceeds from the Private Placement will be used for working capital purposes and to initiate commercial production of laser crystals at the Company’s Medical Laser Lab located in Singapore.
Pursuant to the financing, the Company will pay a finder’s fee equal to 8% of the gross proceeds of the sale of the shares and issue non-transferable finder’s warrants to purchase shares equal in number to 7% of the Shares sold under the private placement. Each finder’s warrant will entitle the holder to purchase one share at $0.90 for a period of 24 months after the date the private placement closes. All shares and finder’s warrants will be subject to a four-month hold period expiring on June 20, 2007.
About the Company
Zecotek Medical Systems is a bio-photonics technology company developing high-performance crystals, photo detectors, medical lasers, optical imaging and 3D display technologies for commercial applications in the medical diagnostics and high-tech industry. Founded in 2003, the company has three distinct operating divisions: medical imaging, medical lasers and 3D display and labs located in Canada, Singapore and Russia. Zecotek commercializes its novel, patented and patent-pending bio-photonic technologies directly and through strategic alliances and joint ventures with multinational OEMs, distributors and other industry leaders.
For additional information on Zecotek Medical Systems and our technologies please see our website at Zecotek Photonics.
For additional information please contact:
Zecotek Medical Systems
MICHAEL MINDER CFO; VP Corporate Development
T: (604)-827-5203
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release. If you would like to receive news from Zecotek in the future, please email [email protected] and mention ZMS News in the subject heading or visit the corporate website at Zecotek Photonics