EnergyConnect Group, a leading provider of smart grid demand response services and technologies, will exchange $3.3 million in debt for 36.5 million shares of EnergyConnect’s common stock this week.
Kevin Evans, EnergyConnect’s president and CEO, said, “Following discussions with the company, Aequitas Capital has elected to convert its debt into equity. This conversion significantly strengthens our balance sheet and positions the company to take advantage of strategic growth opportunities in the DR market.” Per the terms of the agreement, the company will issue 36.5 million shares of restricted common stock, which will retire $3.3 million of debt currently held by Aequitas. Following the conversion, Aequitas and its affiliates will own approximately 30% of the company’s outstanding shares.
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