ZTEST Closes $1,498,753.20 Private Placement
ZTEST Electronics Inc., ZTST - CDN, ("ZTEST") wishes to announce that it has concluded negotiations with four (4) arm's-length parties resulting in private placements in the total amount of $1,498,753.20. The private placees subscribed for 703,640 Series D Preferred Shares (the "Shares") of the Corporation on the basis of one (1) Share for each $2.13 of funds advanced. The Shares are non-voting, pay monthly dividends at the rate of 7% per annum commencing after June 1, 2001 and are convertible by the holder at the rate of one (1) common share for each Share converted for the first eighteen months from December 1, 1999, one (1) common share for each 1.40845 Shares converted ($3.00 per common share) for the next three years and one (1) common share for each 1.6432 Shares converted ($3.50 per common share) for a further period of three years. The Shares are redeemable after December 1, 2002 at the rate of $2.13 per Share.
The money raised will be used for working capital purposes and potential acquisitions.
ZTEST offers Strategic Partner services in electronic design, development and manufacturing to emerging high tech companies in return for long-term manufacturing contracts, fees for services and equity positions.
For further information, please contact Mr. James E. Lalonde, Manager, Corporate Development, at (905) 569-3344 or visit our website at http://www.ztest.com.
The current outstanding capital of ZTEST is 16,658,816 common shares.
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