Hillcrest Announces Closing of Final Tranche of Unit Offering

Executive Summary

• Hillcrest Energy Technologies closed the final tranche of its previously announced unit offering, raising gross proceeds of $4,593,118.86 at $0.09 per Unit.
• The financing consisted of a Cash Offering of $3,642,879.96 (40,476,444 Units) and a Debt Settlement of $950,238.90 (10,558,210 Units).
• Proceeds are earmarked for further development and commercialization of the company’s ZVS technology, marketing, investor relations, debt retirement, and general working capital.

Key Details

• Total Units issued in final tranche: 51,034,654 (each unit = 1 common share + 1 warrant).
• Aggregate gross proceeds: $4,593,118.86 at a price of $0.09 per Unit.
• Cash Offering component: $3,642,879.96 for 40,476,444 Units (private placement).
• Debt Settlement component: $950,238.90 for 10,558,210 Units, settling debt to an arm’s‑length creditor.
• Cumulative offering size after final tranche: 48,972,556 Units for approximately $4.41 M cash; total debt settlement units cumulative 31,581,634 Units covering ~$2.84 M of debt.
• Warrants: exercise price $0.12 per share, exercisable for 24 months; accelerated expiry trigger if CSE price ≥ $0.36 for ten consecutive trading days after four months.
• Use of proceeds: development and commercialization of ZVS technology, product marketing, investor relations activities, retirement of accounts payable, and general working capital.
• Statutory hold period on securities: four months and one day per CSE and Canadian securities law.

Notable Quotes

“The closing of this final tranche represents a significant milestone for Hillcrest,” said Don Currie, CEO. “The strategic investment from Pasqua First Nation … strengthens our balance sheet… we’re now positioned to accelerate our technology development and deliver on the commitments we’ve made to our shareholders and partners.”