VANCOUVER, May 30, 2012 /PRNewswire/ -- Quantum Solar Power
Corp. ("Quantum") (OTCBB: QSPW) is pleased to announce that it has
secured $475,000 in debt financing,
permitting Quantum to fund continued research and development
activities at Simon Fraser University
("SFU"), and that Dr. Edward Sargent
has agreed to act as chairman of Quantum's newly established
science advisory board.
On May 23, 2012, Quantum closed
escrow on an amended loan agreement dated May 22, 2012, with Foundation Freehold Ltd.
("Foundation") for a loan in the principal amount of CDN
$475,000 after Canadian Integrated
Optics (BC) Ltd. ("CIO-BC"), a company that conducts research on
behalf of Quantum, entered into an amendment to its research
agreement with SFU permitting research and development of Quantum's
NGD™ Technology to proceed. The majority of the
proceeds from the loan will be used to fund further research and
development activities. The loan is to be advanced, according to
the following schedule:
|
(i)
|
CDN
$175,000 on April 25, 2012 (which has been advanced);
|
|
(ii)
|
CDN
$18,000 on May 23, 2012 (which has been advanced);
|
|
(iii)
|
CDN
$150,000 to be advanced on June 25, 2012; and
|
|
(iv)
|
CDN
$132,000 to be advanced on July 23, 2012.
|
Although the execution of the loan documents and the initial
advancement occurred on April 23,
2012, the loan documents and proceeds were required to be
held in escrow pending CIO-BC reaching an agreement with SFU to
permit research and development activities to proceed. The loan is
payable on April 23, 2015, bears 9%
annual interest and is secured by a guarantee of the Quantum's
wholly owned subsidiary, 0935493 B.C. Ltd ("SubCo") charging, in
favour of Foundation, one of Quantum's PVD 75 Deposition tools and
Quantum's Nova NanoSEM 430 Ultra-high resolution FESEM microscope.
At any time, Foundation may elect to receive shares of Quantum's
common stock in exchange for any portion of loan or interest
outstanding on the basis of one share for each USD $0.02 of indebtedness converted.
On March 22, 2012, CIO-BC entered
into its sixth amendment to its research agreement with SFU and
issued a promissory note to SFU in the amount of CDN $452,749 to SFU in respect of previous research
activities conducted on behalf of Quantum. To secure payment under
the amended research agreement, Quantum and SubCo provided a
guarantee to SFU of the promissory note and charged in favour of
SFU, all of Quantum's beneficial interest in three Kurt J. Lesker
PVD 75 Deposition tools.
On March 23, 2012, Quantum's Board
of Directors approved the formation of a science advisory board and
appointed Dr. Sargent as its first member and chairman. Dr. Sargent
will be responsible for recruiting and appointing additional
members. Dr. Sargent holds the Canada Research Chair in
Nanotechnology at the University of
Toronto. He is Fellow of the American Association for the
Advancement of Science as well as a Fellow of the Institute of
Electrical and Electronics Engineers. He is the Chief Technology
Officer of InVisage Technologies, an image sensor company, and
co-founder of Xagenic, a point-of-care molecular diagnostics
company.
Daryl Ehrmantraut, Chief
Operating Officer of Quantum, said, "Dr. Sargent is an expert in
novel photovoltaics. The addition of his expertise and insight is
tremendously valuable and will further improve our rate of
progress. While our early-stage development involves keeping a
tight lid on the details of our photovoltaic technology, our
continued success involves attracting a growing contingent of
industry and academia experts to vet our technology and advise us
on our development plan. To this end, Dr. Sargent, along with
management, has been exploring their respective networks to
identify and attract further members to the science advisory
board."
In consideration of his services, Quantum granted 250,000
non-qualified options to Dr. Sargent, entitling him to purchase
shares of Quantum's common stock at a price of USD $0.165 per share, exercisable until March 1, 2014. The science advisory board's
duties include preparing objective evaluations of Quantum's
progress in science and technology, acting as ambassadors for
Quantum and its technology, and evaluating new technologies and
intellectual property.
Complete details of the above transactions are contained in
Quantum's Current Report on Form 8-K filed with the SEC on
May 29, 2012.
About Quantum Solar Power Corp.
Quantum Solar Power Corp. is developing a "Next Generation Device"
(NGD™) photovoltaic technology. Quantum's NGD™ is a patent pending,
laboratory model that utilizes a new approach to solar power
conversion with the potential to remove the necessity of utilizing
expensive silicon semiconductor-based technologies. Management
believes that Quantum's NGD™ technology has the potential to match
the efficiency of crystalline silicon PV at the cost of thin film
PV. The anticipated NGD™ technology is free of any rare element
dependencies found in other current solar
technologies. Management believes that Quantum has the
potential to create solar cells (through manufacturing
partnerships) at significantly less cost per watt than current
technologies. Quantum Solar Power has offices in the U.S. and
Canada and can be found on the web
at: www.quantumsp.com
Forward-Looking Statements This news release contains
forward-looking statements regarding future events and Quantum's
future results that are subject to the safe harbors created under
the Securities Act of 1933 (the "Securities Act") and the
Securities Exchange Act of 1934 (the "Exchange Act") and constitute
"forward looking information" within the meaning of U.S. securities
laws. These statements include statements about Quantum's planned
technological development plan and are based on material factors
and assumptions including Quantum's management's current
expectations, estimates, forecasts, and projections about the
industry in which Quantum operates and the beliefs and assumptions
of Quantum's management. Words such as "expects,"
"anticipates," "targets," "goals," "projects," "intends," "plans,"
"believes," "seeks," "estimates," "continues," "may," variations of
such words, and similar expressions, are intended to identify such
forward-looking statements. In addition, any statements that refer
to projections of Quantum's future financial performance, Quantum's
anticipated growth and potentials in its business and other
characterizations of future events or circumstances are
forward-looking statements. Readers are cautioned that these
forward-looking statements are only predictions and are subject to
risks, uncertainties, and assumptions that are difficult to
predict, including the risk that Quantum's technological
development plan may not be successful, and those risks identified
in Quantum's Quarterly Report on Form 10-Q for the fiscal quarter
ended March 31, 2012. Therefore,
actual results may differ materially and adversely from those
expressed in any forward-looking statements. Quantum undertakes no
obligation to revise or update any forward-looking statements for
any reason.
Contact: Daryl Ehrmantraut
Chief Operating Officer
Quantum Solar Power Corp.
info@quantumsp.com
+1 (604) 681-6311
SOURCE Quantum Solar Power Corp.
